11/4/2022

Soybeans lead the way higher going into the weekend on hopes of increased export business after it was announced that China would begin working its way towards an opened-up economy without Covid restrictions on citizens. The strength in soybeans lifted the other grain trades with it. This was also friendly for energies, vegetable oils, and soybean meal. Corn traded to 5-6 cents higher before drifting back to finish a modest 1-2 cents better on the day. Soybeans traded to 20+ cents higher early and held throughout the entire session. With a majority of harvest complete, analysts have started raising their yield projections for this year's U.S. crops. Will the USDA do the same in next week's WASDE report? This is typically a quiet report but with corn exports continuing at the bare-minimum pace and the crops much better than anyone expected, the USDA may make changes sooner than they have in the past. Look at the 695-700 area on the December futures for a corn sale if you did not price anything in that area earlier this week.

Soybeans charged higher to finish the week. In my opinion, we need to see the January contract correct lower near the 1420 area before trying break higher out of 4 months of consolidating trade. Set price targets to fill cash at the 1490 futures area if we are able to break out higher.