11/12/2021

Corn and soybeans surge going into the weekend with soybeans posting 20+ cent gains to finish the week strong.  The USDA made an 8am sale announcement of 256,930 tonnes of soybeans for delivery to unknown during the 2021/22 marketing year.  Weekly export sales for corn were mid-range with 1.067 million tonnes sold.  Soybean and wheat net sales were within range but towards the low end, with 1.289 mmt of soybeans and 289k tonnes of wheat sold last week.  Double-digit gains in soybean meal provided the big push in soybeans futures today.  Corn strength following Tuesday's report has been provided mostly by China's domestic corn price which has rallied as of late.  Some see this as a sign that China will be entering the market soon but China's state government has encouraged citizens to stockpile and that sounds like something you do when you're preparing to cut yourself off from the rest of the world.  A quick look at the technical charts shows corn and soybeans found some quick resistance at the overhead trend lines today and did not test them.  If you did not do a round of sales at these levels two weeks ago, I'm a seller here.  Otherwise, patience could be beneficial to see if there is enough momentum to break us out higher.