Weekly Ag Markets Update - Monday, April 26

Wheat: Wheat markets were sharply higher on Friday and for the week as Wheat remains a weather market. The weather remains too dry in the northern Great Plains and in the Canadian Prairies and farmers have planted into dry soils. It has been very cold and some Winterkill was possible in the central and southern Great Plains as well as the Midwest. The most damage from the freezing temperatures was expected to be in Oklahoma. There will be some precipitation with the colder air which should be mostly light but beneficial for the short term. Demand remains disappointing but the production might not be there for better demand in the coming year. Corn prices are high so demand for feed wheat could increase. The chart trends are up on the daily charts and on the weekly charts.

Weekly Chicago Soft Red Winter Wheat Futures

Weekly Chicago Hard Red Winter Wheat Futures

Weekly Minneapolis Hard Red Spring Wheat Futures

Corn: Corn closed sharply higher last week on what appeared to be additional speculative buying based on ideas of strong demand and long term weather outlooks for warm and dry weather west of the Mississippi River. Futures were mixed on Friday, with nearby months higher and new crop months a little lower. Oats closed lower on Friday but higher for the week. It was very cold last week in the US and some recently planted Corn could have been hurt or at least be very slow to emerge. Temperatures will be warmer this week but there will be precipitation to keep farmers from the fields. There are also concerns about the production potential for the Safrinha crop in Brazil as growing areas have been warm and dry and look to stay that way longer term. Oats were higher. There is talk of new Chinese interest in buying US Corn. Chinese demand had been strong until recently and it looks like they need the Corn. Prices inside China for Corn remain extremely high. It is drier in central and parts of northern Brazil, and farmers have finally harvested the Soybeans area and planted the Winter Corn. The Winter Corn crop progress is well behind normal and it has been dry in major growing areas. Demand for US Corn has been coming at a stronger pace than estimated by USDA and it looks like the US ending stocks can be significantly less than current projections by the end of the year.

Weekly Corn Futures

 Weekly Oats Futures

Soybeans and Soybean Meal: Soybeans and the products were sharply higher. There is still crush demand and export demand even though the demand is less now than before and the market thinks the US is going to run out of Soybeans unless demand can be rationed with high prices. The US does not have a lot of Soybeans in the country anymore as most producers have already sold. Buyers are scrambling for what is left. Brazil is rapidly exporting Soybeans. The Brazil harvest had been delayed due to late planting dates early due to dry weather and now too much rain that has caused harvest delays and some quality problems in the north as well. Harvest activities are done now. China has been buying for next year here but now is buying mostly in South America.US internal demand has been strong. Soybean Meal is under pressure due to the big buying seen in Soybean Oil although both were higher yesterday. Production of DDG can increase in the near future as ethanol demand improves and more people start driving again.

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