Daily Ag Direction 2/4/25
Good Morning!
The markets continue to try to process the daily tariff news that is dominating the headlines. It appears that Mexico and Canada are both working to avoid a tariff war with President Trump. So far, China has not backed down and has responded with new tariffs of their own. As of now, the new tariffs imposed by China don’t look to impact the ag sector much.
Wheat markets were down overnight and into the morning session. State crop conditions were released Monday afternoon and they showed the crop to be in pretty good shape for now. Some of the selling pressure is likely related to those reports.
The corn market traded both sides overnight and is positive this morning. The announcement of tariffs, followed by the delay only adds volatility to the market. Fundamentals remain supportive of the corn market and the producers seem content to sit back and watch the trade wars unfold.
March KC Wheat is -2 @ $5.8375
July KC Wheat is -2 @ $6.025
March Corn is +3.5 @ $4.9225
Dec Corn is up a half a cent @ $4.655
March Soybeans -1 @ $10.5725
Nov Soybeans -3.5 @ $10.5975
Please reach out to your CEA Risk Management Advisor if you have any questions. Have a great day!
Mike Hellman
580-532-5126
