Today’s Prices
Today’s video is coming to you today about 2 hours before the market closes.
Weekly Price Summary
Grain Market News
Ukraine
Russia annexed Crimea in 2014, although much of the world does not recognize it as part of Russia.
Recently Russia annexed 4 regions within Ukraine and says that is now Russian territory.
There has also been some fierce fighting along the Crimean border with Kherson where Ukraine is trying to take some area back.
At this time Russia is claiming control though the Kherson area but further to the west our important Black Sea Port.
Ukraine/Russia
Russia’s end game is likely to continue to push westward and gain control of Odessa.
Odessa is Ukraine’s largest grain shipping port, certainly Russia intends to gain control there but have not been able to yet.
Grain Market News
South America Precipitation Forecast
Brazil’s forecast shows mostly favorable rain, nothing exceptionally heavy.
Virtually all areas should see some rain in the next couple weeks.
Argentina has some rain in the forecast in the first week, but the second week returns to dry weather.
South American Temperatures
Temperatures are not a big factor at this time since its planting season in Argentina.
In Argentina its similar to late April and in Brazil its similar to early May.
Nonetheless temperatures in Argentina generally a little above normal and in Brazil are mixed with cooler than normal in the south and little warmer to the north.
World Corn
Stocks have fallen over the last couple of years.
Stocks to use are some of the lowest we’ve seen over the past 8-10 years.
68.5%, over 2/3 of the global corn stocks are in China and not available to the rest of the world.
World Soybeans
World soybeans tocks are projected to bounce back a little this year based on large and record South American crop.
Demand continues to increase so our stock to use for global soybeans is sill relatively tight.
A little over 30% of the global soybeans are in China.
World Wheat
Global wheat stocks projected to be down for the 4th year in a row and stocks to use the lowest going back to 2014-2015.
Although this isn’t as tight as we were in the earlier 2000s as of today 54% of global wheat stocks re in China and not available to the rest of the world.
7-Day Precipitation Forecast
Harvest is rolling along wide open across the U.S.
There is some rain in the forecast, most of the rain is scheduled for Monday and Tuesday in the central U.S. and the northern plains on Sunday and Monday
December Corn Chart
Corn prices have been consolidating for the last 4 days with that consolidation right at the 20- and 40-day moving averages.
The market did turn lower off the highs posted nearly 2 weeks ago but at this point they have not broken out below major chart support.
Technical indicators were pointed downward but yesterday and today is starting to turn those technical indicators.
November Soybean Chart
Soybean prices have been in a downtrend off the highs posted a little above $15 in mid-September.
The last couple days they have been trying to turn back up.
Overhead resistance at the previous high of 14.14 where the 40-day moving average and the downtrend line come into play.
The chart and technical are indicating that the market may be into testing that overhead resistance.
December KC Wheat Chart
Wheat prices have been in a downtrend off the highs posted almost 2 weeks ago at 10.37.
Over the last 4 days the market has been consolidating and so far, has been unable to break below the 40-day moving average.
This sis no place to be making sales in wheat.
Questions or Comments
