Grain, harvest
Corn: It should be safer to assume that the bears are in control for now while looking for factors that help the bulls. Bulls might have to wait a little longer to get momentum back on their side. Trade volume was low once again on Monday, which shows us bulls are choosing the sidelines and not defending support areas well. Let’s continue to keep an eye out for new overnight sales each morning, but in the meantime continue on with the lower trend…Ryan Ettner
Soybeans: The market is awaiting news of a big China purchase to confirm prices have broken hard enough over the past few weeks to get end-users buying. Weather in South America will become more important as we move into October. It is in Mid-October that Brazil hits full stride in their soybean plantings. Harvest here in the United States continues to progress at a record pace. The USDA reported this afternoon that 22% of the crop has been harvested compared to the five-year average pace of 8%…Jim McCormick
Wheat: Australia, one of the world’s largest exporters of wheat, is suffering from a drought that is going to shrink their crop; however, the Australian harvest could slow demand for U.S. wheat as that country will be supplying the export market with cheaper wheat. After we move through their harvest, it will be months before we see a ready supply of wheat in export channels. The majority of the wheat grown in the world is found in the northern hemisphere and with winter wheat being planted and spring wheat months away, a tight situation in the cash market could be forming for a few months out. Look at playing the sideways range right now the further we get through October look for pullbacks as buying opportunities…Cordon Sroka
