Wednesday, November 20, 2013




Commodity
Period
Price 
Weekly Movement
Corn CBOT
Dec. 
4.17
?
12 ¾    
cents
Soybeans CBOT
Jan.
12.73 ¾ 
?
 41 ¼ 
cents
Wheat CBOT
Dec.
6.47 ¼ 
?
  1 ¾ 
cents
Wheat Minn.
Dec.
6.97 ¾ 
?
  1 ¾ 
cents
Wheat Kansas
Dec.
 6.95 ½ 
?
 6 ½ 
cents
 
 



 
Canadian $
Dec.
0.9565
?
18
points


CORN: 
The USDA crop progress report has pegged the harvest at 91 percent completion this week, up seven percent from last week. Ontario harvest is still hampered. Though the majority of corn has been harvested, there are still areas with significant acreage yet to be combined. 

Overall, the downtrend keeps a hold on the market. A slight bounce for the corn market on Tuesday, November 19 was short. There is pressure on the market from the Environmental Protection Agency proposed change in the ethanol mandate in the US. 


SOYBEANS: 	
The US soybean harvest is 95 percent completed and up four percent from last week, according the USDA Crop Progress Report. This week has been nothing short of interesting when it comes to following the soybean markets. Markets continue to move lower despite factors that some feel should be supporting the futures. 

Friday saw the release of the US Export Report from the USDA. Soybeans fell from above $13.10 per bushel to the low $12.80 per bushel range on Friday in part due to the report, but also due to alleged favourable weather in South America and softening cash markets. The futures have continued down into the $12.70 per bushel range by Wednesday, November 20, 2013. 

As previously reported, had all the conditions been favourable for Brazil, there was potential for the nation to lead globally in soybean production. While the weather conditions are favourable, there are other factors that have halted efforts. The Government of Brazil declared a state of emergency in parts of the country where a caterpillar infestation is threatening the crops. Industry analysts are keeping an eye to see how the issue is dealt with, and how the outcome will resonate in the marketplace, if at all. 



WHEAT: 

The US winter wheat crop condition ratings fell again this week by two percentage points in their respective categories. In the very poor to poor rating, the number was increased to seven percent. The good to excellent rating fell to 63 percent this week. 

In global production, Australia could be a real developing story. Rains have plagued the west and frost has affected the east; both are affecting the quality of the crop and reduced the harvest. Although known for having desirable high-protein wheat, the poor harvest may turn international purchasing away from the Australian crop this year to other markets – potentially in Canada and the United States. 

Wheat markets continue to try and grind lower. In part, they are caught on the tails of the corn markets. While there was a bit of support from several tenders, including a second by Egypt in as many weeks, the overall trend remains down. 

2013 November contract prices for November 20, 2013 at close are as follows:
SWW at $225.64 per tonne ($6.14/bu.), SRW at $219.87 per tonne ($5.98/bu.), HRW at $229.48 per tonne ($6.25/bu.), and HRS at $233.51 per tonne ($6.36/bu.)

       Ontario Grain Market Commentary for November 20, 2013 
       Grain Farmers of Ontario