Grain Marketing Specialist
Corn: As of 7:45- 1 lower
Spillover strength from soybeans, wheat and added interest from fund activity helped push corn the new recent highs. Funds credited with buying north of 30,000 contracts. Fund length estimated up 115,000 long. Export sales solid again this week as a weak dollar keeping US the origin of choice. Technically momentum remains firm as Dec corn toys with 4.05.
Soybeans: As of 7:45- oc 9 higher, nc 1 higher
SA production concerns still in the driver’s seat. Little relief seen for parts of Argentina as harvest is still a few weeks away. ABIOVE raised Brazilian estimates to 114.7 mmt leaving this market unsure how much Brazil can offset Argentine shortages. Funds credited with buying around 20,000 contracts yesterday. USDA announced the sale of 120,000 tonnes to China and 126,000 to unknown helping turn early day losses back positive as well. Fear of a political trade implications doesn’t seem to bother.
Wheat: As of 7:45- 5 lower
Drought monitor showing little relief for west Oklahoma, Kansas and Nebraska leading KC wheat and the whole complex higher yesterday. The trade will keep a close eye on crop ratings through Mar as wheat will start to break dormancy. There is also growing concerns about the Russian wheat crop as well. I have attached the latest drought monitor released yesterday as well as a July KC wheat chart for your viewing pleasure.