MarketEdge AM Comments
Aug 16, 2023
(Phil Knuth)
Good Morning. Corn and soybean futures were higher overnight. September corn finished the overnight session up 2 ¼ cents, settling at 4.6625. November soybeans were up 9 ½ cents, settling at 13.1475. In the outside markets, as of 7:40am: The US Dollar Index is off 20 points, trading at 103.186. September crude oil is up 20 cents, trading at $81.19 per barrel. Precious metals are lower, except silver. Industrial metals are all lower. The Electronic Mini-DJIA is off 15 points, trading at 34,992. After an ugly trading session yesterday, corn and soybean futures managed to rebound overnight, aided by news out the Black Sea Region. Feedgrains, and to a lesser extent oilseeds, were supported by an overnight escalation in the conflict between Russia and Ukraine. Overnight, Russia once again launched drone strikes on grain export facilities along the Danube River. The trade has certainly grown tired of the whole Russia/Ukraine story. Nonetheless, Chicago continues to react accordingly to news of conflict escalation in the Black Sea Region. Other news regarding grains and oilseeds is scant this morning. Yesterday, the funds sold 8000 contracts of corn, sold 6000 contracts of soybeans, and sold 8000 contracts of wheat. They are now estimated to be net short 52,050 contracts of corn, net long 60,980 contracts of soybeans, and net short 85,145 contracts of wheat. From a chart perspective, September corn finds initial support at the double-low charted yesterday and overnight that is also a new two-year contract low, 4.62. Initial resistance is at 4.6825, the overnight high, followed by 4.9475, Friday’s high, and then the psychological 5.00 mark. November soybeans find initial support at the double-low charted yesterday and overnight, 13.03, followed closely by the psychological 13.00 level, and then 12.8225, the 1 ½ month low charted last Tuesday. Initial resistance is at 13.18, the overnight high, followed by 13.38, Friday’s high, and then 13.50. Opening calls are higher.
Have a great Wednesday.
Good Morning. Corn and soybean futures were higher overnight. September corn finished the overnight session up 2 ¼ cents, settling at 4.6625. November soybeans were up 9 ½ cents, settling at 13.1475. In the outside markets, as of 7:40am: The US Dollar Index is off 20 points, trading at 103.186. September crude oil is up 20 cents, trading at $81.19 per barrel. Precious metals are lower, except silver. Industrial metals are all lower. The Electronic Mini-DJIA is off 15 points, trading at 34,992. After an ugly trading session yesterday, corn and soybean futures managed to rebound overnight, aided by news out the Black Sea Region. Feedgrains, and to a lesser extent oilseeds, were supported by an overnight escalation in the conflict between Russia and Ukraine. Overnight, Russia once again launched drone strikes on grain export facilities along the Danube River. The trade has certainly grown tired of the whole Russia/Ukraine story. Nonetheless, Chicago continues to react accordingly to news of conflict escalation in the Black Sea Region. Other news regarding grains and oilseeds is scant this morning. Yesterday, the funds sold 8000 contracts of corn, sold 6000 contracts of soybeans, and sold 8000 contracts of wheat. They are now estimated to be net short 52,050 contracts of corn, net long 60,980 contracts of soybeans, and net short 85,145 contracts of wheat. From a chart perspective, September corn finds initial support at the double-low charted yesterday and overnight that is also a new two-year contract low, 4.62. Initial resistance is at 4.6825, the overnight high, followed by 4.9475, Friday’s high, and then the psychological 5.00 mark. November soybeans find initial support at the double-low charted yesterday and overnight, 13.03, followed closely by the psychological 13.00 level, and then 12.8225, the 1 ½ month low charted last Tuesday. Initial resistance is at 13.18, the overnight high, followed by 13.38, Friday’s high, and then 13.50. Opening calls are higher.
Have a great Wednesday.