DTN Early Word Grains 03/09 06:11

DTN Early Word Grains 03/09 06:11 Ag Markets Pummeled by Energy, Equity Rout May corn is down 4 1/2 cents per bushel, May soybeans are down 13 1/4 cents, and May KC wheat is down 7 1/2 cents. By Tregg Cronin DTN Contributing Analyst 6:00 a.m. CME Globex: May corn is down 4 1/2 cents per bushel, May soybeans are down 13 1/4 cents, and May KC wheat is down 7 1/2 cents. CME Globex Recap: The rout in equities and energies accelerated overnight as coronavirus fears paired with an all-out price war between the three largest crude oil producers to drive markets sharply lower. Crude oil prices hit $27.34 per barrel overnight, the lowest spot trade since 2016 and just cents per barrel from the lowest prices since 2003. Russia is intent on punishing U.S. shale producers while Saudi Arabia is upset with Russia for not abiding by OPEC production cuts. Shale producers will likely have to suspend drilling operations for a time but the budgets of so many oil-producing countries will be constrained mightily if the price war endures. Fortunately, crude oil is already more than $5 per barrel off the lows, but the heavy selling pressure is spilling over into every market around the globe. Interest rates have fallen to new record lows, offering a small silver lining to borrowers. Ag markets are sharply lower overnight, although well off the lows of the session. The focus is not on fundamentals right now, although that could be refocused on Tuesday with the March WASDE being released. Price moves like these often go further and take longer than fundamentals would justify, and this instance is unlikely to be any different. OUTSIDE MARKETS: Previous closes on Friday showed the Dow Jones Industrial Average down 256.50 at 25,864.78 and the S&P 500 down 51.57 at 3,023.94 while the 10-Year Treasury yield ended at 0.706%. Early Monday, the March DJIA futures are down 1237 points. Asian markets are lower with Japan's Nikkei 225 down 1050.99 (-5.07%) and China's Shanghai Composite down 91.22 points (-3.01%). European markets are lower with London's FTSE 100 down 400.78 points (-6.2%), Germany's DAX down 638.92 points (-5.54%) and France's CAC 40 down 316.46 points (-6.16%). The March Euro is up 0.005 at 1.140 and the March U.S. dollar index is down 0.584 at 95.350. The June 30-Year T-Bond is up 4.17%, while April gold is down $3.80 at $1,668.60 and April crude oil is down $8.52 at $32.76. Soybeans on China's Dalian Exchange were down -1.97% while soybean meal was down -1.51%.