Tidbits, Pre-hedging, Crude Oil Sanctions, Wheat & Exports Sales Estimates 10/10/25
- Wright team
- Oct 10
- 4 min read
Tidbits
Pre-hedging: When the CBOT closes this afternoon at 1:15 PM Central Time, the combines will continue to harvest corn and beans through the weekend. Some of those bushels are going to be hauled to merchandisers and sold. Therefore, in the last 30 minutes of trading today before the CBOT closes this afternoon, merchandisers are going to sell futures contracts to hedge their estimate of how many bushels they will buy this weekend. This is called pre-hedging. Last Friday, November soybeans lost 8¢ in the last 30 minutes of trading and December corn lost 2¼¢ in the last 30 minutes. There will be more corn pre-hedging every Friday for the next three or four weeks. Today will be the last pre-hedging of significance for soybeans.
On Monday morning, if merchandisers hedged too many bushels, the market will be higher as commercials buy back the extra hedge bushels. If they did not hedge enough bushels, the market will be lower. The Monday morning trade will give us an indication of how the weekend harvest went.
Farm aid: U.S. Agriculture Secretary Brooke Rollins said the Trump administration would be able to roll out a “significant program” to aid farmers once the federal government reopens, noting that we must get the government reopened first and then move forward with the program.
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