MarketEdge AM Comments
Jun 26, 2023
(Phil Knuth)
Good Morning. Corn futures finished the overnight session lower while soybean futures were higher. September corn was off a penny and a half, settling at 5.8325. August soybeans were up 11 cents, settling at 14.15. In the outside markets, as of 7:40am: The US Dollar Index is off 284 points, trading at 102.619. August crude oil is up 25 cents, trading at $69.41 per barrel. Precious metals are all higher. Industrial metals are lower, except copper. The Electronic Mini-DJIA is off 2 points, trading at 33,975. Wheat futures were the upside leader overnight, buoyed by the coup situation in the Russian Federation over the weekend. The leader of the mercenary Wagner Group rebelled against Russian strongman Vladimir Putin and led his troops toward Moscow over the weekend in an attempt to topple Putin, who has led Russia for over two decades. The coup attempt ended about as soon as it started and there is still a lot we don’t know, however, the fact that somebody challenged the authority of Vladimir Putin puts a serious crack in the veneer of the Putin regime. Weekend rainfall was, once again, a tale of the “haves” and “have nots.” For many, precipitation over the weekend was a life-saver for the crop. Unfortunately, there were many areas that sadly missed out on the much needed rains. We continue to exist within a weather market so anything is possible. It does appear, though, that the overall weather pattern may indeed be changing and more showers and lower temperatures are to be expected in the weeks ahead. We will have to wait and see what actually materializes. Aside from weather, traders are laser-focused on Friday’s Stocks and Acreage Reports. Historically, the June 30th report is a “make or break” for grain and oilseed markets. On Friday, the funds sold 15,000 contracts of corn, sold 10,000 contracts of soybeans, and sold 5000 contracts of wheat. They are now estimated to be net long 66,060 contracts of corn, net long 83,410 contracts of soybeans, and net short 76,440 contracts of wheat. From a chart perspective, September corn finds initial support at the overnight low, 5.7125, followed by 5.50, and then the chart gap from June 12th, 5.2750-5.2975. Initial resistance is at 5.9025, the overnight high, followed by the psychological 6.00 level, and then the six-month high charted on Wednesday, 6.2475. August soybeans find initial support at the psychological 14.00 mark, followed by Friday’s low, 13.83, and then 13.50. Initial resistance is at the highs from Friday and overnight, 14.1825 and 14.1850, respectively, followed by 14.47, the three-month high charted on Wednesday. Opening calls are steady/higher. Following are weekend rainfall totals reported by River Valley Coop employees for their respective Coop locations and/or homes:
Have a great Monday.
Good Morning. Corn futures finished the overnight session lower while soybean futures were higher. September corn was off a penny and a half, settling at 5.8325. August soybeans were up 11 cents, settling at 14.15. In the outside markets, as of 7:40am: The US Dollar Index is off 284 points, trading at 102.619. August crude oil is up 25 cents, trading at $69.41 per barrel. Precious metals are all higher. Industrial metals are lower, except copper. The Electronic Mini-DJIA is off 2 points, trading at 33,975. Wheat futures were the upside leader overnight, buoyed by the coup situation in the Russian Federation over the weekend. The leader of the mercenary Wagner Group rebelled against Russian strongman Vladimir Putin and led his troops toward Moscow over the weekend in an attempt to topple Putin, who has led Russia for over two decades. The coup attempt ended about as soon as it started and there is still a lot we don’t know, however, the fact that somebody challenged the authority of Vladimir Putin puts a serious crack in the veneer of the Putin regime. Weekend rainfall was, once again, a tale of the “haves” and “have nots.” For many, precipitation over the weekend was a life-saver for the crop. Unfortunately, there were many areas that sadly missed out on the much needed rains. We continue to exist within a weather market so anything is possible. It does appear, though, that the overall weather pattern may indeed be changing and more showers and lower temperatures are to be expected in the weeks ahead. We will have to wait and see what actually materializes. Aside from weather, traders are laser-focused on Friday’s Stocks and Acreage Reports. Historically, the June 30th report is a “make or break” for grain and oilseed markets. On Friday, the funds sold 15,000 contracts of corn, sold 10,000 contracts of soybeans, and sold 5000 contracts of wheat. They are now estimated to be net long 66,060 contracts of corn, net long 83,410 contracts of soybeans, and net short 76,440 contracts of wheat. From a chart perspective, September corn finds initial support at the overnight low, 5.7125, followed by 5.50, and then the chart gap from June 12th, 5.2750-5.2975. Initial resistance is at 5.9025, the overnight high, followed by the psychological 6.00 level, and then the six-month high charted on Wednesday, 6.2475. August soybeans find initial support at the psychological 14.00 mark, followed by Friday’s low, 13.83, and then 13.50. Initial resistance is at the highs from Friday and overnight, 14.1825 and 14.1850, respectively, followed by 14.47, the three-month high charted on Wednesday. Opening calls are steady/higher. Following are weekend rainfall totals reported by River Valley Coop employees for their respective Coop locations and/or homes:
| CITY | COUNTY | STATE | RAIN TOTAL |
| RYAN | DELAWARE | IA | 0.90 |
| BERNARD | DUBUQUE | IA | 1.60 |
| TEMPLE HILL | JONES | IA | 1.40 |
| WYOMING | JONES | IA | 0.50 |
| ANAMOSA | JONES | IA | 1.60 |
| MARTELLE | JONES | IA | 1.10 |
| OLIN | JONES | IA | 0.50 |
| MT. VERNON | LINN | IA | 1.50 |
| CEDAR RAPIDS | LINN | IA | 1.00 |
| STANWOOD | CEDAR | IA | 1.00 |
| LOWDEN | CEDAR | IA | 2.00 |
| TIPTON | CEDAR | IA | 2.00 |
| CALAMUS | CLINTON | IA | 2.10 |
| DEWITT | CLINTON | IA | 0.90 |
| DONAHUE | SCOTT | IA | 1.00 |
| WALCOTT | SCOTT | IA | 1.30 |
| DEER GROVE | WHITESIDE | IL | 2.40 |
| WALNUT | BUREAU | IL | 1.30 |
| THOMAS | BUREAU | IL | 0.85 |
| MANLIUS | BUREAU | IL | 0.50 |
| PRINCETON | BUREAU | IL | 0.10 |
| WYANET | BUREAU | IL | 0.20 |
| SHEFFIELD | BUREAU | IL | 0.20 |
| NEPONSET | BUREAU | IL | 0.30 |
| TISKILWA | BUREAU | IL | 0.10 |
| KASBEER | BUREAU | IL | 0.40 |
| OSCEOLA | STARK | IL | 0.40 |
| BRADFORD | STARK | IL | 0.00 |
| CAMBRIDGE | HENRY | IL | 0.40 |
| GENESEO | HENRY | IL | 2.00 |
| ANNAWAN | HENRY | IL | 0.50 |
| HOOPPOLE | HENRY | IL | 1.20 |
| EDELSTEIN | PEORIA | IL | 0.10 |
Have a great Monday.