Corn trade is 6 to 7 cents lower, beans are 17 to 18 cents lower and wheat is 6 to 12 cents higher.
Corn trade is 6 to 7 cents lower at midday Thursday with trade pulling back from the recent highs as trade seeks further bullish news to push higher amid oversold conditions. Harvest will continue to make further progress short term as we head towards the homestretch. Ethanol margins should remain stable to better short term, with production continuing to surge despite natural gas prices as we work to rebuild stocks.
Basis should remain steady to firmer short term as harvest pressure eases. Weekly export sales continue to improve at 1.27 million metric tons along with 130,000 metric tons sold on the daily wire. On the December contract, we have chart support at the 200-day moving average at $5.20 with the $5.06 3/4 low last Wednesday now a major support area.
Chart resistance is right around the $5.40 area, which is the daily high and the 50-day moving average, with larger upside resistance at the upper Bollinger Band at $5.46.
Soybean trade is 17 to 18 cents lower at midday with trade fading back from Wednesday’s strength with fresh news lacking to push trade. Meal is $4.50 to $5.50 lower and oil is 1.90 cents to 2.20 cents lower fading back from the fresh highs Wednesday. Harvest will continue to progress with open enough weather, with basis stable as shipping progress increases.
Chart momentum has faded a bit overnight as we pull back from recent highs as well. Weekly exports were good at 2.88 million metric tons of bean, 240,400 metric tons of meal, and 3,000 metric tons of old oil, and 100 metric tons of new.
On the November soybean chart, support is at the $12.22 10-day moving average and then the recent low of $11.84 3/4 with resistance at the 20-day currently at $12.41 then the 50-day at $12.81.
Wheat trade is 6 to 12 cents lower at midday with Minneapolis remaining the leader and KC the laggard overnight. Spring wheat spreads continue to be strong while winter wheats fade a bit. Spring wheat remains at a 2.43-cent premium to Chicago, with KC at 6 cents in mixed action. The dollar remains off the highs adding support, while export sales struggled a bit at 362,400 metric tons.
Weather in the Plains remains fairly neutral for the moment with the first condition reports likely next week. KC December chart support is at the 20-day at $7.37 with resistance at the 10/4 high of $7.64.
The U.S. stock market was mixed with the Dow down 160 points. The U.S. Dollar Index is 0.07 higher. Interest rate products are mixed. Energies are weaker with crude down $2.05. Livestock trade is mostly lower. Precious metals are weaker with gold down $3.