March 1, 2018
Grain Marketing Specialist
Yesterday was a strong day for the corn market. The May contract broke above the 200 DMA at 3.80. That seems to be a short term support level now. The December contract spent the whole day above 4.00. Brazil is slowly making progress with the Safrina crop. The EIA report was out yesterday. Production was down 24 TBPD to 1044. Stocks were up 226 Thousand Barrels to 22979. Stocks are 5% lower than last year. See the table below.
Soybeans: up 4
It was another strong day for the soy complex. The November contract traded through technical resistance at 10.35 yesterday. The May contract traded up to 10.59 and last night we were able to break through and trade up to 10.63. That market is currently sitting at 10.59 which has been strong resistance over this past week. The bean market spent most of last night in the red. Soybean meal was trading lower on profit taking. This morning the USDA had a couple sales announcements. 120k metric tons of soybeans to China. Of that, 60k metric ton to be delivered 17/18 market year and 60k metric ton 18/19 market year. 126k metric ton of soybeans to an unknown destination. Of that, 63k metric ton delivered in 17/18 and 63k metric ton delivered 18/19.
Wheat: MPLS up 1 KC up 4
HRW led the pack yesterday trading in a 25 cent range and being able to break through some key technical levels. Japan bought 65,516 tonnes of wheat from the US. HRW areas are still facing drought in the Southwest. SRW areas face flooding.