Sep 18th 2012
Brad Olson
Grain Marketing Specialist

Corn:  As of 7:30- unchanged

Yesterday hedge pressure, fund selling and weak technical all led to a large move lower. For the morning we seem to have stabilized but technical’s still remain weak. Funds long  310,000 selling 22,000 yesterday. Looking for support at the 7.18 level. Harvest is reported at 26% completed compared to 15% last and a 5 yr average of 9%. 

Soybeans:  As of 7:30- 23 lower

Some early reports of better yields, producer selling and technical weakness fueled a limit move lower yesterday. Funds long 221,000 selling 20,000. Chinese still posting a negative crush margin and would look for them to buy setbacks. Early reports of yields seem to be better than expected into the Midwest. But is it enough to produce our way out of our short term tightness? Seems unlikely to me. Harvest progress reported at 10% up 5% last week. Technical’s remain weak with next level of support at 15.81.

Wheat:  As of 7:30- Winter 9 higher, Spring 9 higher

Wheat traded lower in sympathy of the other grains turning technical’s weaker yesterday. Continued concerns over Black Sea and Australian wheat production along with wheat belt topsoil moisture shortages adversely affecting winter wheat seeding should remain supportive. Winter wheat planting reported at 11% vs 4% last week.