DTN Early Word Grains 11/23 05:54
Grains Rally as Forecasts Remain Concerning
December corn is up 5 cents per bushel, January soybeans are up 14 1/2
cents, and March KC wheat is up 2 1/2 cents.
DTN Contributing Analyst
Pre-6 a.m. Globex Prices: December corn is up 5 cents per bushel, January
soybeans are up 14 1/2 cents, and March KC wheat is up 2 1/2 cents.
CME Globex Recap: Mostly stronger equity trade overnight with U.S. futures
suggesting gains later Monday morning. Over the weekend, AstraZeneca became the
third pharmaceutical company to report strong efficacy of a vaccine toward the
coronavirus. There are now hopes some vaccine could be available to healthcare
workers before Christmas. Energy markets are higher overnight with spot crude
prices trading to the highest level since September 1. The U.S. Dollar Index is
sitting just above 3-month lows and below all major moving averages. Precious
metals are weaker but still inside recent ranges. Sharply higher grain prices
overnight led by corn and soybeans as weekend weather models suggest dryness in
southern Brazil could persist another couple of weeks. The market is 60-days
away from the earliest soybean harvest in Brazil, suggesting added risk premium
will need to be retained for quite some time.
OUTSIDE MARKETS: Previous closes on Friday showed the Dow Jones Industrial
Average down 219.75 at 29,263.48 and the S&P 500 down 24.33 at 3,581.87 while
the 10-Year Treasury yield ended at 0.829%. Early Monday, the December DJIA
futures are up 217 points. Asian markets are mixed with Japan's Nikkei 225 down
106.97 (-0.42%) and China's Shanghai Composite up 36.76 points (1.09%).
European markets are higher with London's FTSE 100 up 21.33 points (0.34%),
Germany's DAX up 124.67 points (0.95%) and France's CAC 40 up 42.35 points
(0.77%). The December Euro is up 0.002 at 1.190 and the December U.S. dollar
index is down 0.230 at 92.165. The December 30-Year T-Bond is down 13/32nds,
while December gold is down $6.50 at $1,865.90 and January crude oil is up
$0.61 at $43.03. Soybeans on China's Dalian Exchange were up 1.82% while
soybean meal was up 1.29% and corn was up 0.12%.
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