Grains are slightly higher at midday:
Sept Corn + 10 3/4 cent/bu (5.56)
Dec Corn + 11 3/4 cents/bu (5.44 3/4)
Nov Soybeans + 12 1/4 cents/bu (13.32 1/2)
Sept Chi Wheat +3/4 cents/bu (6.41 1/2)
Cdn $ -0.00235 (79.98 cents)
WTI Crude Oil +1.14/barrel (75.24)
A quiet morning in the grain markets. Grains are coasting slightly higher after last night’s crop condition report which showed mostly steady conditions.
Weather is the main story today as hot and dry conditions remain across the Northwest production areas, as well as western Canada. This is an extremely big story especially in the canola market as the heat is taking a major toll on the crop. As a result canola futures yesterday surged to its highest futures point ever, (86% higher than a year ago). With the canola crop in trouble, it is reported that this could lead to the use of an additional 135 million bu of Soybeans for oil.
The consumer price index was higher than expected this morning, worrying the stock market. The Federal Reserve continues to argue that the inflation pressures in our economy are transitory (temporary).