Morning Comments; Wednesday, April 24th, 2019

Corn is steady, while soybeans are steady to higher on the overnight trade.

African swine fever continues to spread to other countries including South Africa, where the disease was found last week outside of their controlled zone. New cases of the virus were reported in China, this means the disease has now spread to every province in China. Officials in China are claiming nearly 200 million hogs could be lost to the highly contagious disease. According to China’s Agriculture Ministry, 80 percent of the farms are deciding not to replenish their hog supply. Since pork consumption accounts for 60 percent of the meat consumed in China, this could continue to create more demand for pork.

The latest CFTC report showed corn specs are the big sellers again with a fund position that is a record short if nearly 350,000 contracts. With the limited positive news in the markets, there is little incentive to cover these shorts in the market at this point.

Market Movers: Trade talks with China, Weather forecasts, and Fund activity

For more information, you may contact Kristi Guse at (712)-260-6486, or e-mail at kguse@maxyieldgrain.com. The opinions and views expressed in this commentary are solely those of Kristi Guse. Data used in writing this commentary obtained from various sources believed to be accurate. This commentary is intended for informational purposes only and is not intended for developing specific commodity trading strategies. Any and all risk involved with commodity trading should be determined before establishing a futures position. Please visit our Risk Disclosure Page for more information on commodity trading.