April 4, 2017
Grain Marketing Specialist
Bullish momentum yesterday, nearby corn closed up 3 cents at 3.67 3/4 above the 20 day, 100 day, and 200 day moving average on the nearby contract. It is always a good idea to have targets in and working, between the bullish report and rains across the delta and southern plains the market could react to delays in the fields as well. The next line of resistance looks to be the 50 day moving average at 3.71 on the May contract. The New Crop corn contract closed at 3.92 It pushed up as high as 3.95 yesterday. Export inspections came in strong yesterday at 58 mln bu. up 15.87 mln bu from what was needed on the week. With 89.9 mln acres and if we have another trend line yield we are still looking at a 2 billion bu carryout. USDA corn planting update: Arkansas 30%, Mississippi 63% and Louisiana 90% planted. Below is a look at the nearby May futures contract.
Beans UP 2
Yesterday beans closed at a technical level, we saw a slight bounce off that in the overnight trade. Yesterday the contract closed at 9.38, the lowest level since mid-April 2016. The new crop contract closed at a psychological level of 9.50 yesterday. If we plant a record 89.48 mln acres, with a trendline yield our soybean carryout could be above 500 mln bu. Export inspections yesterday came out at 22.8 mln bu, right in line with what USDA forecasted.
Wheat MPLS up 2 Kansas up 3
Wheat futures fell a few pennies yesterday the nearby mpls contract closed at 5.31, the new crop contract at 5.46. Not much for news in any of the wheat markets yesterday. Winter wheat conditions came in at 51% vs 59% LY. US spring wheat planting pace is at 6% vs 7% LY. With less feeding of wheat, it makes for some bearish momentum. Good thing is, globally we are competitive on wheat. Export inspections came in at 20.56 mln bu yesterday.