Inclement weather in the Midwest of the U.S. prompted two agriculture futures to lose value on Monday, according to Bloomberg.
Corn futures endured its sharpest losses in about 35 days while soybean futures also struggled on commodity markets due to conjecture that hot and dry weather will spur stronger crops. Planting was delayed by strong rain.
"The way the weather is shaping up, we're going to get some heat," brokerage president Jason Britt with Central States Commodities Inc. in Kansas City, Missouri, told the publication on Monday. "It looks like yields that were diminishing are going to stabilize, if not see some improvement."
At 12:35 p.m. on Monday, corn futures fell 1.92 percent, a 0.1075-cent loss to $5.4775 per bushel. At 12:36 p.m., soybean futures dropped 0.77 percent, a 0.1175-cent dive to $15.165 per bushel.
Ag Professional reports an agronomy specialist at the University of Missouri forecasts yields of soybeans are likely to be lower this year due to farmers delaying planting of the legume. Planting is roughly three weeks late as compared to the same period of last year, which was warm and dry.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.