- There are no markets on Sunday evening or Monday, in observance of the Martin Luther King Day holiday. Trade will resume Monday evening at 7 PM Chicago Time.
- President elect Biden announced a $1.9 trillion stimulus proposal yesterday, in hopes of boosting the economy and increase vaccine distribution.
- Energy markets weaken on increased virus cases and renewed restrictions in China, despite reports of record crude oil imports.
- US$ up 0.245 at 90.487, gold down 4-5 bucks at 1847/ounce and CD$ down 0.0044 at
- DJIA down 178 at 30731, S&P down 17 at 3773, and NASDAQ down 6-7 at 12894.
- Corn prices are near unchanged to slightly weaker ahead of the long weekend.
- China’s corn values were 6 ¼ cents stronger overnight.
- Spreads: H/K 3 ¼ carry, K/N 3 ¾ inverse, N/U 49 ¾ inverse, Z/H 5 carry.
Outlook: steady to easier trade on position squaring ahead of the holiday weekend
- Soybeans turned lower in consolidating type trade after big moves higher the past several sessions.
- Resistance in the March beans is seen at its contract high of $14.36 ½.
- March palm oil closed down 104 ringgit at 3,423 ringgit.
- China’s beans were 7-27 cent weaker, meal was down 2-3 bucks, oil down 121 points and palm oil was down 181.
- Spreads: H/K 2 inverse, K/N 14 ½ inverse, N/Q 49 ¼ inverse, Q/X 157 ¼ inverse.
Outlook: softer trade ahead of the extended weekend
- Wheat traded higher overnight on ides of reduced spring wheat acres in 2021 and Russian wheat export tax implications, which would tighten global wheat supplies if realized.
- Russian officials plan to increase their wheat export tax to 25 euros in mid-February and 50 euros come March 1.
- There is talk that Russia may extend their tax on wheat into the new marketing year, which would begin July 1.
- Spreads: Mpls H/K 8 ¼ carry, Kansas City H/K 3 ½ carry, Chicago H/K 1 carry.
Outlook: higher trade on Russian tax proposal and reduced spring wheat acres