December 21, 2015
Grain Marketing Specialist
CH settled only ¼ cent better on Friday after touching the 50-day MA of $3.79 mid-session. Technical resistance is near $3.78 ¾ and support near $3.70. Argentina devaluation of the peso is expected to create an increase in corn exports. US Export Inspections released at 10 AM CST; Corn, 39.0 needed; 22.3 last week; Sorghum, 5.3 needed; 5.1 last week. Our export pace is still behind last year (chart below).
Northern Brazil remains dry, stirring concerns of crop losses without moisture over the next few weeks. We are coming up on their critical stage for promoting big yields. Ideas are that the bean crop will be 97.9 million tonnes versus 101.1 million tonnes estimated previously. USDA announced the sale of 220,046 tonnes of beans on Friday to an unknown destination for 2015-16.
Wheat: MW Up 1; KC Steady/Unchanged
Argentina harvest 50% completed with better yields but lower protein. US winter wheat belt nearby and extended forecast largely warm and dry for majority of belt. MWH reached the weekly high on Friday but closed within 6 cents off the weekly low.