Monday Dec 12th
Brad Olson, Grain Originator
Corn: 7 lower
Last weeks USDA report showing very little change domesticaly for corn and world production rising, notably from China, had corn on the defensive all session Friday. We seem to be range bound for now with selling coming in at $6.00. In light of what we know now we will most likely continue to struggle to make any significant moves higher going into the Jan report. For the morning outside markets are not favorable with crude oil lower and dollar index higher adding pressure. Funds long 139,000.
Soybeans: 7 lower
With USDA lowering both crush and exports increasing stocks on Friday soybeans spent the day lower. We tested the $11 dollar area the first time since Oct 2010 Friday and did so again in night session. For now it contiues to hold and pay close attention. My technical indicators remain bearish with support at 11.00. Paying attention to S.American weather and looking forward to the Jan report. Funds long 5,000.
Wheat: 5 lower
Wheat may have been the bright spot Friday even though domestic stocks did rise 50. For the morning we do look to open softer in line with the other grains on spill over from Friday and pressure from outside markets. Technical indicator remain bearish both KC and Minneapolis wheat. Funds short 52,000 Chicago