- Markets weaker this morning before the open. Corn down 1’2 cent and soybeans down 5’2 cents.
- USDA WASDE report comes out tomorrow at 11 am central time.
- Corn is expected to come in slightly lower than the Nov report with carryout at 2.478 bbu. Exports expected to be lower while ethanol production is higher.
- Soybeans are expected to be higher on the US carryout tomorrow at .438 bbu versus .425 bbu in Nov.
- Corn technically remains near the bottom of its trading range with March support at 3.50 and resistance 3.60.
- Soybeans remain range-bound with support at 9.80 and resistance 10.00.
- Wheat continues to post contract lows, support now at 4.14.
- Trading is likely light today due to the USDA report tomorrow, although no big trading news is expected.
- Brazil continues to receive mostly good rains. No pressing conditions and forecasts remain wet enough for requirements.
- Argentina is expected to catch some scattered storms, but conditions remain drier than normal for 94% of the crop.
- Overall, Argentina remains stressed while Brazil remains in great shape.
- Corn is sitting at the low end of its trading range. With funds still short and Argentina dry, the conditions stand for a small rally, but long term trading channels are likely to keep things confined.
- Soybeans continue to sell off after the 12/5 market high but no long term directional change is indicated.
- Wheat traded to new lows yesterday. More price weakness is possible unless corn can rally.
Fun Fact of the Day: Candy store owner David Bradley's shop was flooded during a major storm in 1883. As a result of the flood, his entire stock of taffy was soaked with salty Atlantic Ocean water. When a young girl came into his shop and asked if he had any taffy for sale, he is said to have offered some "salt water taffy."