- Markets are quiet overnight with corn down less than a cent, soybeans up 4 cents, and wheat down 1 cent.
- Argentine soybean production estimates continuing to work lower with some privates now dropping as low as 40-45 MMT (USDA 54 MMT last month).
- Export sales were higher than expected in both corn and soybeans.
- 25 corn contracts were delivered against the March contract, 81 KC wheat, 101 soybeans, and 0 Chicago wheat.
- With yesterday’s rallies we’ve seen significant amounts of selling from farmers as they lock in new crop prices.
- USDA reporting soybean sales to China and unknown destinations this morning
- Corn is trending higher after breaking through the 4.00 resistance point.
- Soybeans are trending higher as the May made new highs on the overnight. Resistance at 10.80, support at 10.30.
- Wheat surged higher to a tune of 21 cents. Overnight markets broke the resistance at 4.85, but have pulled back this morning.
- Argentina forecast is still dry. A few areas have received rains, but the crops remain stressed. Forecasts show Argentina could pick up a few showers in the coming weeks.
- Brazil sees a little drier weather in the 6-10 and 11-15, which will help harvest pick up.
- US winter wheat areas are dry the next couple weeks.
- Corn will continue higher as long as wheat and soybeans can continue. Farmers have been quick to lock in $4 fall corn acknowledging past marketing trends. Plenty of old crop corn still, but with the possibility of more soybean acres than corn the market might be looking to buy a bit.
- Soybeans continue to make new highs over concerns of Argentine weather. Better than expected exports this morning have helped. As meal continues to go up soybeans will with it. US still could see an increase in soybean acres, especially if prices remain this high. Farmers have taken advantage by locking in $10 cash soybeans for their new crop.
- Wheat surged higher yesterday to about 21 cents on concerns over drought conditions in the plain states. Forecasts still show them to remain dry which will help boost markets and pull up corn with it.
- Look for a quiet day today after all the activity yesterday, general trend for all markets is positive.
Fun Fact of the Day: The area encircling the Pacific Ocean is called the "Ring of Fire," because its edges mark a circle of high volcanic and seismic activity (earthquakes). Most of the active volcanoes on Earth are located on this circumference.