Morning Market Review by Bryce Knorr
Morning Price Trends
Soybeans: Down 4 to 6
Wheat: Up 3 to 5
Futures are trading quietly this morning, as the market mostly digests yesterday’s big USDA report for September and waits for the next headline from an increasingly volatile world stage.
Corn saw a little buying emerge after trading began in Europe this morning, with futures struggling to hang onto tentative gains headed into the pit open in Chicago.
Yesterday’s bearish USDA report, which raised forecasts of both old and new crop carryout, broke December futures down to the 23.6% retracement of its summer drought rally, confirming a move below the contract’s 50-day moving average.
Sluggish demand caused by high prices continues to overhang the market. This morning’s Export Sales totals are expected to be up from last week’s dismal numbers, but still remain weak, around 15 million bushels. Ethanol production also dropped in the latest week, with plant margins hurt by falling biofuel prices.