April 23rd, 2013
Corn as of 8:00am. 3 lower Dec. 6 lower
We are seeing markets drift lower today on the story that “rain makes grain!” With the slightest improvement on weather conditions funds are expecting to regain some of the lost planting time after this week. Yesterdays planting and progress report stated corn plantings only 4% done versus 26% last year and 16% average. The chart below shows the last 5 years of corn planting progress.
Old crop news. Export inspection report yesterday showed only 12.4 million loaded compared to 31 million this time last year. Look to see the trade continue to balance old crop and new crop price ideas. Reminder! Funds have to liquidate down to 600 contracts before the switch into July futures.
Technically speaking support in the May at around 630 and resistance around 665. December, support around 530 and resistance around 550.
Soybeans as of 8:00am. 2 lower Nov. 3 lower
Soybeans falling with the same ideas of improving weather conditions. China markets falling on further fears of Bird Flu adding more pressure to the soybean complex. Demand for soybeans is also down. USDA did announce 174,000 tons of new crop soybeans that were sold to China. Look for pressure to remain on soybeans as we get into planting season and as we see this bird flu shake out. Technically speaking support in the July is around 1340 and Resistance around 1380 futures. November support around 1230 resistance at 1275
Wheat as of 8:00am. Spr. Wheat 7 lower Win. Wheat 3 lower
Wheat following row crops yesterday and drifted a little lower. Winter Wheat rated 35% G/E versus 63% last year and compared to a 51.6% average. Cold temps still hanging around in the south. Spring Wheat is at 7% planted well below the 56% this time last year. Wheat export inspections were solid at 24.8 million. Needing 25.8 to keep with USDA pace. Trade will continue to watch weather.