Market Report

Markets in general have been more supportive, 100 day moving average for both corn and beans remains supportive.  Though today has shown to be less supportive.

11:30am 2/23/15

Corn -6 ¼ @ 3.79

Beans-5 @ 9.94 ¼ 

Corn:  

Corn has been trading in an extremely narrow range of about 10 cents, when dropping down to support it  seems new buyers quickly come in keeping it supported.  When speaking to producers people are beginning to feel more optimistic and it seems people are looking for a reason to buy, “just give me a reason.”  It seems any weather fear or bullish headline could attract some short term buyers.  Demand remains strong in both exports and ethanol.  Moving forward “supply” may be very important.

Corn seemed to take a beating  so far this morning pushing below the 3.80 support line for the first time in a week.  Closing below definitely creates some concern, and gives a new trading range (much wider).

Beans:

As we head into a more historically bullish time period and the ag forums unexpectedly low ’15 planted acreage estimate of 83.5 Million, we have yet to see a major bullish response.  If demand remains high, and we receive any bullish news we may receive some opportunities.  Brazil there are talks of truckers protesting high diesel prices, and roadways in Mato Grosso have been experiencing delays/stand stills.

Interesting:

US TODAY “Deer Earning Dive on Ag Sag

Deere & Co. said its net income was $386.8 million, or $1.12 per share, for the quarter that ended Jan. 31., the equipment-maker’s first fiscal quarter of 2015.That was a drop of 43% from the year-earlier net income of $681.1 million, or $1.81 per share.  “Deere’s first-quarter performance reflected sluggish conditions in the global farm sector, which reduced demand for agricultural machinery, particularly larger models, and led to lower sales and income,” said CEO Samuel Allen.

Read it all here: http://www.usatoday.com/story/money/business/2015/02/20/deere-quarterly-earnings/23726911/

Greg Mockenhaupt

ProEdge Risk Management Consultant

P: (402) 685-5613 | C: (402) 380-9855 | Greg.Mockenhaupt@cvacoop.com

1007 County Road O

Oakland, NE 68045