1/7/2022

Jan 07, 2022


1/7/2022
Strong moves higher in soybean meal and soybeans lead the way going into the weekend.  The overnight session closed in a sea of red and trade immediately popped to the green at the 8:30am open.  A quick look at the 1-minute soybean charts show a big buy-stop blast across the contracts around 10:20 this morning, sending March futures firmly above the 1400'0 level.  Corn benefited minimally from spillover support, closing 3 cents higher on the day but price action was limited and seemed reluctant to follow soybeans.  We had two USDA sale announcements at 8am this morning.  176,784 tonnes of corn to Mexico for the 2021/22 marketing year and 120,000 tonnes of soybeans to unknown for the 2022/23 marketing year.  The rumor mill was working double-time today with "China" and "big purchase" being used in the same sentence repeatedly.  Market bulls needed something new to trade with the South American weather story beyond beaten to death.  We love to see these higher prices for our growers but now it's time to evaluate what the potential market upside in next week's report is.  If South America production and China demand are already priced in what, what's left?  The export market has some issues that need to be resolved that include expensive freight and current performance is absolutely atrocious.  There is a lot of grain remaining to be shipped in the marketing year and the fundamentals have potential to become unfriendly in a hurry.

Read More News

Jul 18, 2024
Another day of tough sledding for corn. There was some brief trade to 1 higher but we quickly went backwards into negative territory, closing just above the current contract lows. Soybeans were lower overnight and then...
Jul 17, 2024
It was a fast start to trade overnight with corn making a little surge to trade 3-5 higher and soybeans 7 higher.  Corn was able to hold on to improve 2-3 cents on the day but soybeans swung all the way back to the red side of...
Jul 16, 2024
Soybeans are now priced off of the November futures.  Corn and soybeans enjoyed a day of higher trade and posted modest gains of 2-5 cents.  The weekly crop ratings report was unchanged from the previous week with...