Wednesday, March 1, 2017 Today’s Futures Closes

[Pages:2]Today's Futures Closes:

Wednesday, March 1, 2017

Mar 17 Corn May 17 Corn July 17 Corn Sep 17 Corn Dec 17 Corn Mar 17 Oats Dec 17 Meal Dec17 SB Oil Jun 17 Cattle May 17 Feeder Jun 17 Hogs

$3.7575 $3.82

$3.8925 $3.9525 $4.0125 $2.6075 $334.2 $35.31 107.800 123.700 78.000

+9.0 +8.25 +8.25 +8.0 +7.5 +2.75 +2.2 +0.75 +0.250 -1.025 +0.375

Mar 17 Soybeans May 17 Soybeans Jul 17 Soybeans Nov 17 Soybeans Jan 18 Soybeans Nov 17 Rapeseed

Mar 17 Cotton May 17 Cotton Dec 17 Cotton

Jan 17 Rice Nov 17 Rice

$10.4125 $10.5175

$10.60 $10.3225

$10.36 $512.9 $76.85 $77.86 $74.90 $938.0 $1029.0

+16.25 +16.0 +15.5 +14.0 +14.25 +13.5 +1.52 +1.52 +0.52 +9.5 +10.0

Mar 17 CH Wheat July 17 CH Wheat Mar 17 KC Wheat July 17 KC Wheat Mar 17 MN Wheat Sep 17 MN Wheat Mar Dollar Index

May Crude Oil June Gold March S&P

Mar Dow Jones

$4.355 $4.7075 $4.655 $4.885 $5.5325 $5.7175 101.720 $54.20 $1252.9 2399.00 21109

+10.75 +12.25 +14.25 +13.5 +13.5 +11.0 +0.591 -0.23

-4.3 +36.20 +302

(Futures contracts highlighted in green were the bull leaders today; futures prices highlighted in red were the bear leaders today.)

RISK ON! to start the month of March. Today's trade started with the US dollar higher, partly due to expectations for a March interest rate hike, & partly from last night's speech from the President. That also seemed to fuel buying in

stocks, which again traded to new all-time highs. And like my message has been all winter - "a rising tide lifts all boats" ? the rally in stocks seemed to bring commodities along for the ride.

There wasn't a whole lot fundamentally to support the rally, unless you consider muddy roads in northern Brazil or a warm start to the growing season (next page) as reasons. But the charts have sure whipped us around the last few days. November soybeans closed within 2 cents of their numerous Jan/Feb highs. December cotton made a life-ofcontract high today despite continued talk of many more acres this spring. December corn closed within 3 cents of yesterday's high, which is the highest its traded since June. July wheat is still 18 cents off of its February high, but did trade back to its 200-day moving average at today's close.

With the charts at right I also included updates on the option strategies I've been discussing this winter. Today's rally will again allow us to lock in a minimum November soybean futures over $10.00 by hedging and buying a September short-dated $11.50 call on November futures. The new high in December cotton allows us to buy higher put/call spreads, raising our futures floor for approximately no net cost.

1. Straight Hedge @ $10.32 (at a profit?) 2. Minimum Price ? hedge & buy calls

Sep S-D SX17 $11.50 calls ? 24 cents Sep S-D SX17 $12.00 calls ? 17 ? cents

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1. Straight Hedge @ 74.90 cents (at a profit?) 2. Buy Puts / Sell Calls

Long 73 cent put @ 3.50 cents Long 72 cent put @ 3.25 cents Short 77 cent call @ 3.56 cents Short 78 cent call @ 3.20 cents

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From Allen Motew: "Early Start The late winter/early Spring outlook is for no sustained anomalous cold but on the flip side abnormal warmth should abound. This set-up may allow for early planting and growth but also an increased risk of freeze damage (look up 2007 disaster).

Soil moisture by the end of May is indicated to be anomalously low across the C Plains, and parts of the mid-South, mid-Atlantic, Mid and lower Miss Valley including parts of the Gulf States and Delta. Normal to wetter than soil moisture is expected across the West and even potentially into SW Texas, N ND, E MN, NE IA, WI and MI. On average, NOAA sees a warmer than normal spring (M-A-M) on average, for the South, Plains (except ND), Corn Belt and East. Southern and Central vegetation is becoming increasingly vulnerable to a normal or particularly late hard freeze (like in 2007?). The M-A-M NOAA precipitation outlook is for wetter than normal from the Pac NW to the W Great Lakes and "EC" across the C Plains, Corn Belt, South and East."

These are the final crop insurance prices & volatility factors for states with a 3/15 sales closing date. Producers have until March 15 to make any changes to their crop insurance policies, as well as to enroll in any of the Select products for 2017. And for those interested, there is no hard deadline for those interested in purchasing Production Cost Insurance for 2017. Visit with your agent or DCIS marketing representative for more information about that product for 2017.

This email may contain confidential and/or privileged information. If you are not the intended recipient (or have received this email by mistake), please notify the sender immediately and destroy this email. Any unauthorized copying, disclosure or distribution of the material in this email is strictly prohibited. Email transmission security and error-free status cannot be guaranteed as information could be intercepted, corrupted, destroyed, delayed, incomplete, or contain viruses. The sender therefore does not accept liability for any errors or omissions in the contents of this message which may arise as a result of email transmission. CGB Diversified Services, Inc is a registered introducing broker and a member of the NFA. Except as otherwise indicated DS does not warrant the accuracy or correctness of any information herein or the appropriateness of any transaction. Information contained herein is obtained from

sources believed to be reliable; however, no guarantee to its accuracy is made. Opinions expressed herein are those of the author and not necessarily of DS. All electronic communications may be reviewed by authorized personnel and may be provided to regulatory authorities or others with a legal right to access such information. At various times, DS or its affiliates may have positions in, and effect proprietary transactions in, futures, options, securities or other financial instruments which may be referred to herein. Trading in futures, options, securities, derivatives or OTC products entails significant risks which must be understood prior to trading and may not be appropriate for all investors. Past performance of actual trades or strategies is not necessarily indicative of future results. Nothing contained herein shall be construed as an offer to sell or a solicitation to buy any futures contract, option, security, or derivative, including foreign exchange. Diversified Crop Insurance Services is a company of CGB Enterprises, Inc. and is an equal opportunity provider. Diversified Services Marketing Group / Rich Morrison 1610 West Lafayette Ave Jacksonville, Illinois 62650 (217) 479-6012

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