Today’s Market Report

December 7, 2015 Leave a comment


Markets 12/7/15 @ 10:47am

Dow -167.58
S&P -20.92
Nasdaq -42.96

Oil prices dropped to near seven-year lows today as investors continued to digest the decision to continue pumping crude at near-record levels into an already oversupplied market.  OPEC said at a meeting Friday that it will maintain its current production levels, which exceed the group’s output target of 30 million barrels a day.

 

The US Dollar posted its worst day in six years on Thursday last week dropping more than 2%, seems to bring more interest into commodities.

 

Grain Markets 12/7/15 @ 10:46am

Mar Corn -7’0 @ $3.74’4
Jan Beans -10’4 @ $8.95’4

 

Corn gets a bit of a boost last week from the drop in the U.S. Dollar, but still only by a few cents.  Corn continues to chop staying in the 3.50-4.00 range since January with the exception of the short lived bounce resulting from the USDA Report in June.  So it’s not surprising we sit in the $3.75 area for March Corn.  The funds remain short corn just under 150,000 contracts.  That weather headline I continue to hope for may give us an opportunity.  I also want to again bring up the importance of the U.S Dollar and Crude prices.  At their current levels they seem to directly influence commodities.

 

Beans broke through the $9.00 resistance level last week setting the stage for resistance at the $9.15 area possibly up to $9.34.  The bean market has continued to head up for 2 straight weeks after the key reversal on Monday November 23rd.  Though the markets seems to rally for technical reasons, there are other uncertainties that may be a factor.  A newly elected president in Argentina, Brazil looking to impeach the current president, and of course weather.  Over the last two weeks we have added .65 to the price of beans.  It may be time to reward the rally.  Unless we get some additional bullish news, it’s likely we will see the upward momentum will fizzle out.

 

Greg Mockenhaupt

ProEdge Risk Management Consultant

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

1007 County Road O

Oakland, NE 68045

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Unknown's avatarAbout katcountryhub
I am a graduate of Northeast Community College with a degree in journalism. I am married to Jeff Gilliland. We have two grown children, Justin and Whitney and four grandchildren, Grayce, Grayhm, Charli and Penelope. I will be covering Lyons, Decatur, Bancroft and Rosalie and am hoping to expand my horizons as time progresses!

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