WHEAT
General Comments: The markets were mixed yesterday, with nearby months closing slightly lower. The dry weather outlook continues for Russia and the US. At least two Wheat producing regions in Russia have declared a state of emergency for Wheat producers due to a lack of rain and little to no rain has been a problem with Winter Wheat planting in the US. Ideas are that the Great Plains are too hot and dry for best Wheat development are still around as the Winter crop gets planted. It is also hot and dry in western Canada. Cash markets in Russia were higher and are now about $230.00/ton as production estimates remain lower and two regions have been declared a farming emergency due to the hot and dry weather.
Overnight News:
Chart Analysis: Trends in Chicago are mixed to down. Support is at 564, 561, and 556 December, with resistance at 589, 595, and 598 December. Trends in Kansas City are mixed to down. Support is at 577, 571, and 566 December, with resistance at 592, 603, and 608 December. Trends in Minneapolis are mixed to down. Support is at 609, 604, and 595 December, and resistance is at 624, 632, and 646 December.
RICE General Comments: Rice closed mixed to lower yesterday and trends are still mixed on the daily charts. It appears that Rice charts are still in the process of posting a bottom. Lower Asian prices are still reported after India opened up exports for non Basmati White Rice last week. Brazil prices remain strong and well above US prices. The US weather has been an issue much of the growing season with too much rain early in the year. Some areas are now too hot and dry, especially in Texas, and Texas yields are down. The harvest is over for most US producers
Overnight News:
Chart Analysis: Trends are mixed to up. Support is at 1501, 1489, and 1475 November and resistance is at 1525, 1532, and 1540 November.CORN AND OATS
General Comments: Corn closed higher despite active harvest conditions in the Midwest as export demand remains strong. Oats were lower. Corn is often coming to the elevator at levels at 8% to 12% moisture instead of the desired 14% moisture and it has made a difference in yields overall. It remains dry in the Midwest, and there are now forecasts for dry conditions and cooler temperatures in the Midwest for the coming week. Most producers have concentrated on the Soybeans harvest and are turning attention to Corn with Soybeans mostly in the bin for a lot of them. Producers plan to hold new crop supplies in hopes for higher prices. Increased US demand comes from the fact that Corn prices are already among the cheapest in the world and on the threat of a new Trump presidency that could impose tariffs on overseas customers again.
Overnight News: Unknown destinations bought 165,000 tons of US Corn and Japan bought 227,600 tons of US Corn.
Chart Analysis: Trends in Corn are mixed. Support is at 408, 399, and 397 December, and resistance is at 420, 424, and 428 September. Trends in Oats are mixed to down. Support is at 374, 370, and 357 December, and resistance is at 382, 390, and 394 DecemberSOYBEANS
General Comments: Soybeans were higher and the products were mostly lower yesterday on demand reports that were strong again for export yesterday. Brazilian farmers are planting what is expected to be a very big crop in central and northern areas of the country. An uptrend is most likely starting. Ideas are that a potential Trump presidency would hurt trade potential with many countries, but especially China. It could be that export buyers and sellers are getting ahead of any threat of a new Trump presidency and the threat of another big round of tariffs now. China has announced new economic support measures for its economy this week. Warm and dry weather in the Midwest recently has hurt production ideas due to ideas of small and very dry beans in the pods. Farmers have focused on Soybeans ha rest but now are almost done and are switching to Corn. Soybeans ae often harvested at moisture levels below 10% this year. Dry weather will last all week and into next week. Central and northern Brazil rains will stick around as it looks like the rainy season is now underway. Soils are in much better shape in southern Brazil and Argentina.
Overnight News: Unknown destinations bought 198,000 tons of US Soybeans.
Analysis: Trends in Soybeans are down. Support is at 968, 961, and 948 November, and resistance is at 1012, 1025, and 1039 November. Trends in Soybean Meal are mixed to down. Support is at 307.00, 300.00, and 294.00 December, and resistance is at 323.00, 327.00, and 332.00 December. Trends in Soybean Oil are mixed to down. Support is at 4140, 4070, and 4020 December, with resistance at 4430, 4530, and 4560 December.PALM OIL AND CANOLA
General Comments: Palm Oil was higher today on strength in outside markets and on reports from private sources of good demand. There are ideas of weaker production to go along with the reports of good demand. Canola was mixed. Ideas are that China might be buying ahead t get imports in place before any new tariffs are decided and the Canadian Grain Commission reported strong Chinese demand earlier in the week. The weather has been hot and dry in Canada, and it looks like Canola production has been impacted. The weather has called for dry conditions in the Prairies and yields are expected to be the same or less.
Overnight News:
Chart Analysis: Trends in Canola are mixed to up. Support is at 614.00, 607.00, and 595.00 November, with resistance at 638.00, 647.00, and 668.00 November. Trends in Palm Oil are up. Support is at 4360, 4310, and 4230 January, with resistance at 4540, 4600, and 4660 January.More By This Author:
Grains Report – Thursday, Oct. 24
