MarketEdge PM Comments
Nov 30, 2023
(Cody Forde)
Good afternoon,
Corn took the lead while soybeans treaded water lightly. Last trade on March corn was 482^6 up 6^6 to finish today. Last trade on January soybeans was 13.42^6 down 4^2 on the session. This week’s exports news helped push the corn market higher. Export sales for corn were 1.925 MMT or 75.9 million bushels. This was significantly higher than the previous week and the marketing year high for us, so far. Exporters reported a high weekly sale number for soybeans at 1.895 MMT or 69.6 million bushel which was remarkably higher than the previous week. Overall, this was very supportive to the corn market.
With all these sales, where could this market be headed? What targets should we be watching for? Right now, I watch for corn to try and move higher. Our biggest hurdle will be the 4.85 mark on March corn followed by 5.00 mark. If we can break higher, we have a chance at working our way back to the gap left back in August of this year. That was the 5.37 level, but I wouldn’t be surprised if the market only gets up to the 5.09 to 5.14 area. After that, I wouldn’t expect the market to rally more unless we have some unforeseen weather problem in South America or the US. I can’t build a bullish story in corn with the absence of a severe weather problem due to having a carry out over 2 billion bushels.
Good afternoon,
Corn took the lead while soybeans treaded water lightly. Last trade on March corn was 482^6 up 6^6 to finish today. Last trade on January soybeans was 13.42^6 down 4^2 on the session. This week’s exports news helped push the corn market higher. Export sales for corn were 1.925 MMT or 75.9 million bushels. This was significantly higher than the previous week and the marketing year high for us, so far. Exporters reported a high weekly sale number for soybeans at 1.895 MMT or 69.6 million bushel which was remarkably higher than the previous week. Overall, this was very supportive to the corn market.
With all these sales, where could this market be headed? What targets should we be watching for? Right now, I watch for corn to try and move higher. Our biggest hurdle will be the 4.85 mark on March corn followed by 5.00 mark. If we can break higher, we have a chance at working our way back to the gap left back in August of this year. That was the 5.37 level, but I wouldn’t be surprised if the market only gets up to the 5.09 to 5.14 area. After that, I wouldn’t expect the market to rally more unless we have some unforeseen weather problem in South America or the US. I can’t build a bullish story in corn with the absence of a severe weather problem due to having a carry out over 2 billion bushels.