TOP STORIES:
Soybeans Hit Highest Level Since June 2016
Soybeans for January delivery rose 1.4% to $11.69 3/4 a bushel, on the Chicago Board of Trade Tuesday, with rising soybean prices apparently not having an effect on world export demand.
Corn for December delivery rose 1% to $4.20 1/4 a bushel.
Wheat for December delivery fell 0.5% to $5.95 1/4 a bushel.
STORIES OF INTEREST:
Vaccine News Lifts Corn -- Market Talk
1244 ET - Reports of potential coronavirus vaccines, while lifting equity markets in recent sessions, has provided corn futures with support, says RJO Futures. This is because a vaccine would likely cause more vehicles to get back on the road -- increasing gasoline consumption and, by extension, ethanol. However, news of resurging cases is bad news for corn, says RJO. "Traders are concerned that with virus cases spiking, ethanol stocks could continue to grow in the weekly update," says the firm. The EIA will issue its weekly ethanol stocks and production data tomorrow. Corn futures on the CBOT are up 1.2% Tuesday, while soybeans are up 1.8% and wheat is down 0.2%. (kirk.maltais@wsj.com; @kirkmaltais)
Wheat Uptick Limited as Crop Condition Improves -- Market Talk
09:47 ET - The steady improvement of winter wheat in the US is putting some pressure on CBOT wheat futures. According to Monday's crop progress report from the USDA, US winter wheat condition registered at 46% good or excellent condition - which is up 1% from the previous week. US weather is expected to support a continued improvement in the wheat crop's condition. "US winter wheat areas are expected to get more moisture over the next week, which is likely to limit buying interest," says Doug Bergman of RCM Alternatives. Early in trading Tuesday, wheat futures on the CBOT are up 0.3%. (kirk.maltais@wsj.com; @kirkmaltais)
Farm and Environmental Groups Unveil Climate Policy Proposals -- Market Talk
10:31 ET - Major US farm and environmental groups are joining forces to peddle a sweeping set of climate policy recommendations on Capitol Hill, hoping the proposals will win broad support in a divided Congress. The proposals, drawn up by groups including American Farm Bureau Federation and The Nature Conservancy, address topics from soil health to food waste, and include ideas--like establishing a USDA-led "carbon bank"--that would pay or provide tax credits to farmers who store carbon in their soils. The rollout comes as some farmers fear a ramp-up in burdensome environmental regulations under President-elect Joe Biden, who pledged during his campaign to invest in "climate-friendly farming" and help decarbonize the agricultural sector. (jesse.newman@wsj.com; @jessenewman13)
THE MARKETS:
Livestock Futures Close Higher For Second Day -- Market Talk
14:58 ET - Livestock futures trading on the CME close higher again -- making it the second straight higher day for both the cattle and hog contracts. In the short-term, holiday demand is supportive for beef and pork consumption, says RJO Futures. "The market is finding some support from bullish outside market forces as traders see better demand ahead," says the firm. To close trading Tuesday, the most active live cattle contract rose 1.4% to $1.13575 per pound, while the most active hog contract rose 0.6% to 65.525 cents per pound. (kirk.maltais@wsj.com; @kirkmaltais)
(END) Dow Jones Newswires
11-17-20 1721ET
