The Federal Reserve raised rates another 25 basis points this week. This hike now brings the Fed benchmark rates to 5-5.25%. Chairman Powell also stated that they have no intentions of lowering rates anytime soon.
There are reports of a potential assassination attempt of Russian President Putin this week. Video shows a drone exploding over the Kremlin.
Another bank has now fallen. First Republic Bank was momentarily in the hands of the FDIC before JPMorgan swiftly bought the assets.
The NC supreme court has reinstated the Voter ID law. Voter ID was originally passed through a constitutional amendment in 2018 by 55.49% of voters. North Carolina will now join 26 other states that require photo ID to vote.
Commodities this week
Not a lot of news in the commodities this week. Corn and beans both seem to have bounced back off the lows made last week. Across the country farmer selling is well behind average for new crop. It seems the consensus is waiting for a weather scare in the summer months. If we grow the crop that is projected this year, we will work our way out of the supply issue that has helped maintain the higher prices over the last two years. Overall demand is steady to a touch lower. Cattle numbers in the Kansas are at or near historic lows. This is due to the ongoing drought and high feed costs. Next week the USDA will release the May WASDE. This will be the first look at fresh new projections of the new crop balance sheet.
This past Monday’s crop progress report showed: US corn planting at 26% (average 26%) US soybeans planting at 19% (average 11%) NC corn planting 70% (average 69%) NC soybean planting at 9% (average 11%). US Cotton planting at 15% (average 14%) NC Cotton Planting 6% (average 6%)
All prices were gathered the afternoon of Friday, May 5, 2023, and compared to open price on Monday morning. Market closed for Good Friday.
- Oil, down $5 a barrel to $71.66.
- July 2023 Corn, up 12 cents to $5.96.
- Dec 2023 Corn, up 5 cents $5.34.
- July 2023 Beans, up 17 cents to $14.36.
- Nov 2023 Soybeans, up 18 cents to $12.80.
- July 2023 Wheat, up 27 cents to $6.60.
- May 2023 Cotton, up 336 points to 83.91.
- Dec 2023 Cotton, up 243 points to 83.30.
Local Basis Talk
If they haven’t been already, any old soybean or corn basis contracts rolled today as the May futures contract enters first notice day.