Two fears drive markets. Omicron and SA building drought. Grain futures have two concerns this morning. The initial concern is the deepening drought across S Brazil and Argentina, showing no signs of rains but in increasing temperatures into early 2022. The second concern is the spread of the covert variant omicron across the world and…
South American weather becomes focus. Grain futures were mostly higher overnight with corn mixed as holiday reduced volume continues to come into play while index funds completing their re-balancing yesterday. This is the last full trading week of 2021, with the next two weeks being shortened to four-day weeks. Open interest data shows that funds…
Soybeans lead overnight recovery. Grain futures recovered overnight with soybeans leading the advance on the developing concerns that Southern Brazil and Argentine weather forecasts are arid with warming temperatures the next 2 weeks. Wheat futures stumbled on further liquidation while corn pricing is caught between the weakening wheat value but concerning Southern Brazil corn crop…
Grain futures start Wednesday mixed. Grain futures find the row crops firmer this morning on drying as a forecast grows concerning SA. In contrast, wheat futures moved lower as Algeria went with optional origin wheat, allowing a break in French milling prices that US values followed. At 1:00 p.m. today, the Federal Reserve will reveal…
Grain futures trade lower overnight with soybeans reversing. Grain futures are mixed this morning after a mostly lower night session that found technical selling from yesterday’s poor performance carryover the night session with low holiday volume. A resurgence in soybean meal buying helped turn soybeans around after overnight weakness. Monday’s rain across N Argentina and…
Grain futures start week under selling pressure. Grain futures start the last full trading week of the year under pressure, with profit-taking noted with corn and soybeans ending last week near the best levels of the month. Drying weather is noted for S Brazil and Argentina, but lite scattered showers keeps buying interest at bay…
Wheat prices rebound overnight on Russian tax increase. Wheat futures are higher this morning after retesting yesterday’s lows in the overnight session. As French milling wheat opened at 3:45 AM, Russia was setting its new export tax at a record high of $91/MT for any new FOB sales in the December 8-14th period. The wheat…
USDA WASDE Report 12/9/21 Report friendly soybeans, negative wheat and slightly negative corn compared to pre-report estimates.
Spec trade: Place a buy stop on March beans to go long on a 1275.2 stop. Use a 20 cent protective stop if filled. Buy a March KC wheat at 786.4 with a 768 stop.
WASDA Supply/Demand report out today. Grain futures are lower ahead of today’s USDA supply-demand report at 11:00 a.m. Expectations are for WASDA to raise the US corn ethanol grind and cut corn ending stocks by 25-50 Mil Bu. Soybean exports are expected to fall 15-40 Mil Bu, resulting in a large carryout stocks number. It’s…
