Grains and oilseeds are mixed on Wednesday following the overnight session. The U.S. dollar continued to work lower in support of commodity prices. Crude oil is higher. Stock futures are mostly lower.
CORN
March corn is down 3 cents following the overnight session at $4.47. New crop December corn is down 2.25 cents at $4.67.
Futures posted a strong day on Tuesday, with the March contract trading 5 cents higher to $5.50 a bushel, the highest close in about two weeks. Prices are bumping up against the top end of their range, though price action has been mostly sideways for the past month.
The EIA will release its latest ethanol production and stocks data later today.
USDA Secretary Brooke Rollins said the White House will announce a “bridge payment” next week for farmers.
SOYBEANS
January soybeans are up 0.50 cents at $11.25 ¼. New crop November soybeans are down 1 cent at $11.22. Soybean oil is lower after reaching fresh two-month highs yesterday. Soybean meal is moderately higher after posting recent losses.
Old crop futures traded 3.25 cents lower on Tuesday after failing to hold onto early-session gains. There hasn’t been much going on in the U.S. and global soybean markets lately.
Bloomberg reported that at least six cargoes of U.S. soybeans were being loaded for shipment to China through the Gulf. No flash sales of soybeans have been reported yet this week, but Bloomberg reported that traders expect China to meet the 12 MMT commitment announced by the White House.
So far, U.S. export inspections remain about 45 percent behind last season and the lowest in a decade.
As far as we know, the South American soybean crop is developing fairly well despite below-average precipitation during the planting season. NDVI data is showing good vegetative growth. January could get interesting if rainfall remains lackluster through December.
WHEAT
March Chicago wheat is down 2 cents at $5.39. KC wheat is down 2.50 cents at $5.30 ½. Spring wheat is up 0.50 cents at $5.81 ¼.
Winter wheat futures bounced off their support levels on Tuesday, with the Chicago contract trading 6 cents higher. Price action has been fairly lackluster following the limited price rally early in November.
Yesterday, Russian President Vladimir Putin warned of “retaliatory measures” against ships of countries supporting Ukraine. That followed recent Ukrainian drone strikes on Russian infrastructure.
Bloomberg reported that Bangladesh’s government approved a purchase of 220,000 MT of U.S. wheat. That matched a similar approval in early October.
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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.