3/14/2022

Mar 14, 2022


3/14/2022
Corn and soybeans were higher for a portion of the trading day but finished solidly in the red.  Any fresh news is limited and we continue to re-hash the Ukraine/Russia situation and its effects on global grain movement with a lot minds thinking that Ukraine will have almost no crop to offer in 2022.  After announcing last week that they would cease all exports for the remainder of the year, Russia has been loading some wheat, followed by another announcement saying it would halt/restrict exports, then again announcing certain licenses would be honored for exporting.  Wheat trade seemed uneasy with the inconsistency in the headlines.  Export inspections were within target for corn and soybeans last week with 1.145 million tonnes of corn and 773k tonnes of soybeans inspected for shipment.  Corn shipments to date are 61 million bushels short of the pace needed to hit the USDA target, a big jump from the 97 million bushels short the previous week.  Several analysts expecting USDA corn export figures to increase again at some point this season but shipping everything will be difficult to accomplish logistically.  Soybean shipment pace to date is currently 56 million bushels short of the pace needed to reach the USDA target versus 60 million bushels the week prior.  Reuters reported today that an estimated 94% of Brazil's second crop corn was planted in the ideal window, a 20% increase from last year.  A good indication of a fast soybean harvest with few issues.

After going vertical for the better part of 2 weeks, May corn has settled into a consolidation pattern, trading in the 730-760 range.  Trade is in the process of determining its next direction


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The soybeans charts are setting up bull pennants with resistance on the May contract at 1700 and consistently higher lows on the daily chart.  Failure to close above 1700’0 in the near future likely sees a pull back to the 1550’0-1600’0 range.
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Sep 12, 2025
USDA report day.  Corn and beans were trading higher pre-report on thoughts of a reduction to yields.  Well....we got what we were thinking but the USDA decided to throw a twist into the mix.  The 25/26 corn yield decreased slightly less than expected by 2.1 bu to 186.7 bpa, but they gave us the largest planted acreage shift on this report in at least the last 20 years (+1.4 mil acres) spurred an increase in production to 16,814 mbu.  25/26 ending stocks were slightly lowered by 7 mbu to 2,110 mbu. 
Aug 21, 2025
Today the market ran higher on rumors for positive SRE announcements coming soon.  Bean oil was up over $2.  Beans finished the day up 20 cents at 10.56 Nov futures.  There is a chance we could make a run at the 10.74 Nov highs from back in June.  If we get there, I am a seller.  Bean basis remains in the garbage, so a run higher in futures doesn't help that either.  We still don't have a trade deal, so I think any rally is short lived at this time. 
Aug 15, 2025
Corn and beans both had nice gains heading into the weekend.  Corn might seem terrible as of late, but for corn to only be down 2 cents since report day is impressive.  That was one of the most bearish reports for corn we have seen in quite some time.  Corn finished the week 13 cents off its lows and unchanged for the week.  New crop corn basis has softened a little on the week as the extra 2 million acres and 8 bushels of yield from the report has also scared a few exporters off.