DTN Early Word Grains 11/13 05:54
Grains Markets Mixed in Consolidating Trade
December corn is down 1 1/4 cents per bushel, January soybeans are up 3/4
cent, and December KC wheat is down 3 1/2 cents.
By Tregg Cronin
DTN Contributing Analyst
6:00 a.m. CME Globex: December corn is down 1 1/4 cents per bushel, January
soybeans are up 3/4 cent, and December KC wheat is down 3 1/2 cents.
CME Globex Recap: Equity markets are weaker around the globe overnight,
pressured by comments from President Donald Trump, which attacked the optimism
present much of last week. The president said tariffs would be "raised very
substantially" if no truce was reached with officials in Beijing. Separately,
White House Trade Advisor Peter Navarro told reporters that unless you hear it
from President Trump or U.S. Trade Representative Robert Lighthizer with
regards to trade, do not believe it. The comments from both would seem to
suggest we are no closer to a deal than we were a month ago, which could be
part of the reason spot month soybeans are back to the lowest level since
October. Grain markets are mostly weaker overnight as corn and wheat
consolidate Tuesday's strong performance. Funds remain short all three wheat
exchanges to varying degrees, but a rally like the one on Tuesday is a reminder
of what can happen when that group hits the eject button. Crop damage from the
cold across the Plains is thought to be light at this juncture, but
confirmation from USDA with sharply lower crop ratings in HRW country will keep
bears on their toes.
OUTSIDE MARKETS: Previous closes on Tuesday showed the Dow Jones Industrial
Average steady at 27,691.49 and the S&P 500 up 4.83 at 3,087.01 while the
10-Year Treasury yield ended at 1.909%. Early Wednesday, the December DJIA
futures are down 109 points. Asian markets are lower with Japan's Nikkei 225
down 200.14 (-0.85%) and China's Shanghai Composite down 9.58 points (-0.33%).
European markets are lower with London's FTSE 100 down 46.6 points (-0.64%),
Germany's DAX down 102.22 points (-0.77%) and France's CAC 40 down 30.17 points
(-0.51%). The December Euro is steady at 1.100 and the December U.S. dollar
index is up 0.024 at 98.175. The December 30-Year T-Bond is up 14/32nds, while
December gold is up $11.00 at $1,464.70 and December crude oil is down $0.49 at
$56.31. Soybeans on China's Dalian Exchange were down -0.29% while soybean meal
was up 0.42%.
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