Grains Push Higher in the Overnight with Soybeans Leading the Push
In the overnight session the grains traded higher with soybeans leading the way. December Corn was up ¾ of a cent, November soybeans were up 6 ¾ cents and December Chicago wheat was up 1 cent. March soybeans are now trading back above $10 dollars. There is some light snow forecast in Minnesota by Thursday as cooler than normal temperatures become widespread throughout the Midwest by this weekend. The 11-15 day forecast expects heavier snow, but confidence on that event is still quite low.
Soybeans this morning has continued its push higher since the low established on August 16th this year. Since that time we have seen a relatively orderly uptrend with trend line support dates of August 30th, September 12th and October 12th. This week, trade action approached trendline support but has not tested it.
Rains in southern Brazil corn and soybean producing region are helping to improve the moisture as farmers continue planting. The rains are expected to spread across the major growing regions over the next two weeks, which is favorable for the Brazilian corn and soybean crop. Argentina which has been getting excessive moisture is expected to see a break in precipitation late next week but the 11-15 day forecast shows a return of rain again.
This morning Taiwan’s purchasing group MFIG issued an international tender to buy 40,000 to 65,000 metric tons of corn that can be sourced from the United States, South Africa or South America.
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