December 7, 2015
Grain Marketing Specialist
Winter market base builder deadline is this Friday, December 11th. Be sure to contact your Grain Marketing Specialist to get enrolled today!
CORN- Down 3
Corn had a strong week last week finishing up 14 cents on what seems to be little news. Corn had a good technical close on Friday as we closed above the 10 day moving average of $3.7275 but below the 50 day average of $3.845. The strength last week seems to be more attributed to short covering from the funds as they trimmed their short position from 150k to 125k contracts. U.S. exports continue to be sluggish as most of the business leaving this country is out of the Gulf with very little out of the PNW. Targets are starting to be placed for 2016 corn as we break the $4 mark on the board. A good target point may be in the $4.15 Z16 to start getting a few hedges on. Below is a day chart of March 16 corn with the most recent trend line and 50 day moving average…
SOYBEANS- Down 3
Beans were the front runner last week as we finished up 33 cents for the week. Much of the strength last week seems to be attributed to short covering from the funds as they trimmed their short position. January futures had a good technical close on Friday, closing above the 100 day moving average of $9.015 for the first time since August 12th this year. Nearby support for January 16 futures can be found at $8.835 with nearby resistance showing up at $9.235.
WHEAT- Minneapolis Up 1, Kansas City Up 1
Wheat followed corn up last week and finished up 9 in the Minneapolis market and up 14 in Kansas City. Stats Can released larger than expected numbers on Friday, which had all wheat production at 27.59mmt and spring wheat at 19.962mmt. Funds are an estimated short 108k contracts in the Chicago market and an estimated 51k contracts short in Kansas City. Technically, Kansas City March futures traded on both sides of its 20 day moving average of $4.77 on Friday. Minneapolis March futures seem to have found some support near the 10 and 20 day moving averages of $5.10.