MarketEdge AM Comments
Oct 26, 2023
(Phil Knuyh)
Good Morning. Nearby corn futures finished the overnight session slightly higher while deferred contracts were slightly lower. Soybean futures were higher across the board. December corn was up a penny, settling at 4.81. November soybeans were up 4 ¾ cents, settling at 12.93. In the outside markets, as of 7:45am: The US Dollar Index is up 170 points, trading at 106.699. December crude oil is off $2.49, trading at $82.90 per barrel. Precious metals are higher, except palladium. Industrial metals are all higher. The Electronic Mini-DJIA is off 68 points, trading at 33,082. The weekly Export Sales Report released at 7:30am this morning documented a solid week of export sales bookings for both corn and soybeans. Last week, 1,351,100MT of corn was booked for sale for the current marketing year. This figure exceeds the highest trade estimate, is 53% higher than the previous week’s sales, and is 22% higher than the prior four-week average. Weekly corn export shipments totaled 483,700MT. This figure is a marketing-year low, is 6% lower than the previous week’s shipments, and is 28% lower than the prior four-week average. Primary destinations were Mexico, Colombia, Japan, Jamaica, and Taiwan. Last week, 1,387,200MT of soybeans were booked for sale for the current marketing year. This figure is a marketing-year high, is on the upper end of the range of trade expectations, is 1% higher than the previous week’s sales, and is 43% higher than the prior four-week average. Last week’s soybean export shipments totaled 2,384,700MT. This figure is a marketing-year high, is 20% higher than the previous week’s shipments, and is up noticeably from the prior four-week average. Primary destinations were China, Mexico, Bangladesh, Taiwan, and the Netherlands. Yesterday, the funds sold 6000 contracts of corn, sold 4000 contracts of soybeans, and sold 8000 contracts of wheat. They are now estimated to be net short 116,570 contracts of corn, net short 7410 contracts of soybeans, and net short 118,950 contracts of wheat. From a chart perspective, December corn finds initial support at the three-week low charted yesterday, 4.7675, followed by 4.7375, the five-week low charted on September 25th, and then the two-plus year contract low charted on September 19th, 4.6775. Initial resistance is at the overnight high, 4.8275, followed by 4.90, and then the psychological 5.00 mark. November soybeans find initial support at the low for the week charted yesterday, 12.78, followed by 12.7350, last week’s low charted on Monday, and then the four-month low charted on October 12th, 12.5050. Initial resistance is at 12.9375, the overnight high, followed by the psychological 13.00 level and yesterday’s high, 13.0125, and then 13.1850, the five-week high charted on Friday. Opening calls are steady/higher.
Have a great Thursday.
Good Morning. Nearby corn futures finished the overnight session slightly higher while deferred contracts were slightly lower. Soybean futures were higher across the board. December corn was up a penny, settling at 4.81. November soybeans were up 4 ¾ cents, settling at 12.93. In the outside markets, as of 7:45am: The US Dollar Index is up 170 points, trading at 106.699. December crude oil is off $2.49, trading at $82.90 per barrel. Precious metals are higher, except palladium. Industrial metals are all higher. The Electronic Mini-DJIA is off 68 points, trading at 33,082. The weekly Export Sales Report released at 7:30am this morning documented a solid week of export sales bookings for both corn and soybeans. Last week, 1,351,100MT of corn was booked for sale for the current marketing year. This figure exceeds the highest trade estimate, is 53% higher than the previous week’s sales, and is 22% higher than the prior four-week average. Weekly corn export shipments totaled 483,700MT. This figure is a marketing-year low, is 6% lower than the previous week’s shipments, and is 28% lower than the prior four-week average. Primary destinations were Mexico, Colombia, Japan, Jamaica, and Taiwan. Last week, 1,387,200MT of soybeans were booked for sale for the current marketing year. This figure is a marketing-year high, is on the upper end of the range of trade expectations, is 1% higher than the previous week’s sales, and is 43% higher than the prior four-week average. Last week’s soybean export shipments totaled 2,384,700MT. This figure is a marketing-year high, is 20% higher than the previous week’s shipments, and is up noticeably from the prior four-week average. Primary destinations were China, Mexico, Bangladesh, Taiwan, and the Netherlands. Yesterday, the funds sold 6000 contracts of corn, sold 4000 contracts of soybeans, and sold 8000 contracts of wheat. They are now estimated to be net short 116,570 contracts of corn, net short 7410 contracts of soybeans, and net short 118,950 contracts of wheat. From a chart perspective, December corn finds initial support at the three-week low charted yesterday, 4.7675, followed by 4.7375, the five-week low charted on September 25th, and then the two-plus year contract low charted on September 19th, 4.6775. Initial resistance is at the overnight high, 4.8275, followed by 4.90, and then the psychological 5.00 mark. November soybeans find initial support at the low for the week charted yesterday, 12.78, followed by 12.7350, last week’s low charted on Monday, and then the four-month low charted on October 12th, 12.5050. Initial resistance is at 12.9375, the overnight high, followed by the psychological 13.00 level and yesterday’s high, 13.0125, and then 13.1850, the five-week high charted on Friday. Opening calls are steady/higher.
Have a great Thursday.