Grain > Commentary > 11-20-2020

11/20/2020

Nov 20, 2020

11/20/2020
We had a couple sales get announced this morning none of which are China again.  158,270 metric ton of corn to Mexico and 131,000 metric ton of corn to Unknown.  Overnight the markets were strong as beans tried once again to get to that infamous 12.00 future mark getting close at 11.9675.  But that’s not 12.00, so the target remains.  Corn got drug along with and managed to put in a triple top at 4.28 December futures.  A triple top is usually not a good sign, but since were still in the year 2020 anything rule of thumb can be violated.  As I said before let’s scale sales into this market and see where we end up averaging when it all over.  If you put all your eggs in one basket nothing is guaranteed.  Covid headlines continue to pile up, but so far the market has not reacted since it is so bulled up.  Be careful is all I am trying to say and do what is right for you and your business.  The bean spreads have moved into even money as the market has its belly full for now as export sales have slowed and the processor continues to feast off harvest bushels.  Corn spreads are steady at small carries as there is just enough movement to keep the market happy.  Get those Dec HTA and Basis contracts cleaned up be Wednesday next week.
 

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