Wednesday May 25, 2011



Commodity
Period
Price  
Weekly Movement




Corn CBOT
July
7.42 ¼             
?
7 ½     
cents
Soybeans CBOT
July
13.77      
?
2 ½      
cents
Wheat CBOT
July 
7.96 ½      
?
20 ½  
cents
Wheat Minn.
July 
10.20       
?
23 ¾    
cents
Wheat Kansas
July 
9.28 ¾      
?
9 ¼  
cents
 
 
 


 
Canadian $
Jun. 
1.0221  
?
56 
points
CORN
Corn planting remains highly variable depending on the geography in Ontario; some areas remain well under 50 percent complete.  In the U.S., overall corn planting has reached 79 percent complete, up from last week’s 63 percent complete, but still shy of the five-year average of 87 percent.
Emergence in the U.S. is sitting at 45% emerged as of May 22.  There are some problem spots that are holding down the average, and several of them are key corn production states. Other areas are still planting around wet patches in the field or replanting acres that had been previously flooded.
SOYBEANS
The USDA Crop Progress Report indicates that soybeans are 41% planted nationally in the United States. This is behind the five –year average of 51 percent, though many individual states have made good progress over the past week. Soybean planting has been progressing in Ontario as well, with an estimate of 15% completion. 
Markets remain volatile as trade debates the direction of final US acreage; some see corn acreage switching to soy while others see substantial acreage lost along the flooded Mississippi River Valley.  Though improved weather conditions should allow farmers to make progress planting the corn crop.
WHEAT
Weather is also affecting wheat.  Wheat futures rose on speculation that dry weather may have caused irreparable harm to wheat in France, the U.K., and Germany. Estimates indicate losses on a scale of 7 percent to 12 percent for the wheat crop in France and Germany. Spring wheat planting continues slowly in the U.S., contributing to the rallying wheat futures in Minneapolis.
 
Russian farmers planted spring grains on 16.4 million hectares as of May 18, up 14 percent from a year earlier. Agricultural experts have called for an end to the grain export ban, citing the availability of plentiful Russian stocks. But so far, Moscow is keeping everyone guessing about when the restrictions might end. The ban was implemented last year due to a crop shortage to protect against domestic food shortages.
Current contract prices for May 18, 2011 at the close of the markets are as follows:
SWW at $271.66 per tonne ($7.39 /bu.), SRW at $269.86.42 per tonne ($7.34 /bu.), HRW at $286.02 per tonne ($7.78 /bu.), and HRS at $360.89 per tonne ($9.82 /bu.).

       Ontario Grain Market Commentary for May 25, 2011
       By Todd Austin, Grain Farmers of Ontario