SPREADS
Dec oilshare trades to 45.20% while crush trades up to 89.85c. Dec/March corn narrows into 7 1/4c from 7 1/2c. Dec 21/22 trades from 24 1/2c inverse down to 22 3/4c. Nov/Jan bean carry trades from 8 3/4c out to 9 1/2c, while the Nov 21/22 trades from 36 1/4c inverse down to 31 3/4c. Dec/March wheat trades from 10c to 10 1/2c carry. Dec wheat/corn trades from 1.81 1/2c up to 1.86 1/2c.
PALM OIL
Dec. up 122 ringgits to close at 4,452 ringgit/mt.
NEWS
Stocks are 240 pts higher with crude trading to $72.54/barrel, and the US dollar trading down to 93.09.
CALLS
Calls are as follows:
beans: 3-5 higher
meal: .80-.90 lower
soyoil: 40-50 pts higher
corn: 1 lower
wheat: 3-5 higher
canola: 8.00-8.50 higher
TECHNICALS
November Beans: The path of least resistance remains up for now as prices approach major resistance which is $12.95. The market may not have the needed volumes to push through it, but would look for pullbacks to now see buying interest. The market has a nice bid to it, so would look for a stab at $12.95 at the very least.
first support: $12.78/$12.82
resistance: $12.88-$12.92
possible range: much the same or higher
December Meal: Decidedly stuck at the bottom of a trading range which is from $335.00-$345.00. Prices are going to remain this way until we see some unwinding of the buy soyoil/sell meal spread. Still, if needing to price something, the $335.00-$338.00 level appears to have value.
first support: $339.00-$340.00
resistance: $342.00/$343.00
possible range; much the same
December Soyoil: Good price action with 54c a verified low courtesy of bearish news yesterday that found little follow-through to the downside. If actions speak louder than stories not verified, the bounce off 54c seems to show that this is value. Pullbacks will now be buying opportunities and would look for prices to test 58c to 59c eventually.
first support: 5650c
resistance: 5750c
possible range: much the same
December Corn: Stuck sideways with prices trading into key resistance from $5.25 - $5.28. Prices need to clear the top at $5.30 again to get some upside momentum. It may be up to higher wheat and bean prices to invite some buying interest. Top of the market is $5.35/$5.37 for now, but could be expanded upward.
first support: $5.20/5.22
resistance: $5.28/$5.29
possible range: much the same or lower
December Wheat: Prices are in a trading range from $6.80-$7.20. The trade to $6.88 yesterday was right at visual trendline support, and it held. Key resistance is also at $7.15, and while we could test it may have trouble moving beyond.
first support: $7.01/$7.02
resistance: $7.13/$7.15
possible range: much the same or higher
DECEMBER MEAL
The market continues to trend along the bottom of the chart sideways in the same vicinity which is from $335.00-$345.00. This could eventually be viewed as "basing" behavior if prices can rally and trade above $350.00. The ADX is at 21, (anything above 25 is strong trend), so eventually we could see another test of our lows. If needing to price, would still take advantage of the $335.00-$338.00 level, as for now it is value.
TAGS – Feed Grains, North America
The CBOT was mostly higher to end a mostly bearish week with wheat leading the way on several mildly bullish developments. Wheat futures saw price-supportive development in the IGC’s lower 2024/25 global ending stocks forecast, dryness in the U.S. Southern Plains, and smaller Russian 2024...
USDA released the monthly Cattle on Feed report today. Total inventory, placements and marketings all came in lower than the pre-report estimates, though total inventory was at the same volume or higher than last year for the seventh consecutive month. Placements came in well below the average...
