December corn was down 4 1/2 cents and all three U.S. wheats fell lower Friday, failing to find any convincing arguments for potential buyers. January soybeans ended up 1 1/2 cents after the National Oilseed Processors Association said 175.4 million bushels of soybeans were crushed in October, more than expected.
Midday: Soybeans are leading at midday, with corn and wheat testing lows.
Corn trade is 3 to 4 cents lower at midday with trade fading back to test the lows with little fresh news to encourage buyers. Ethanol margins remain stable to firmer with cheaper corn, and firmer ethanol and unleaded.
Basis has held up well with the slow pace of harvest so far with propane shortages still noted, but warmer weather should help. South America should see areas of improvement as planting progresses, especially in Brazil. Weekly export sales remain soft at 581,600 metric tons.
On the December contract support is the $3.71 lows from October, with resistance the 20-day at $3.82 1/2.
Soybeans are 1 to 3 cents higher with trade finding light buying at midday with trade still looking for a spark for buying with nickel higher trade in the day session evaporating. Meal is $2.50 to $3.50 higher and oil 25 to 35 points lower. The real remains at the lows, but export sales are holding up OK at 1.25 million metric tons of beans, 345,300 metric tons of meal, and oil 30,600 metric tons.
Bean basis has moved to a more sideways trend short-term with pockets of firmness showing up at crushers. South America should make more progress through the week with improved weather, and Brazil heading towards the planting homestretch.
On the January chart, support is the lower Bollinger Band at $9.11, which we are just above with resistance well above the market at $9.33.
Wheat trade is 3 to 4 cents lower with trade back to the lower end of the range with spillover from corn, along with lackluster export sales. The Chicago/Kansas City December spread is 84 cents with light gains for KC so far.
The corn/HRW spread has widened back to 50 cents, getting wheat back towards ratios. Russian values remain elevated with Australia dry, but the U.S. is still struggling to capture a larger share, with the dollar remaining at the upper end of the range. Weekly export sales were disappointing at 238,600 metric tons.
The December Kansas City chart support is the lower Bollinger Band at $4.14, with resistance the 20-day at 4.23.