CORN
Prices were steady to $.01 lower today in rather uneventful trade. It was an inside day for Mch-24 with resistance at the 50 day MA at $4.92, followed by the 100 day MA at $4.98. Support is at the Nov-23 low at $4.70. Markets await key soybean crush data tomorrow and a potential announcement from the US Treasury Dept. regarding corn based ethanol. At midday wire services reported that President Biden favors recognizing the ethanol industry for sustainable aviation fuel tax credits under the Inflation Reduction Act. The Treasury Dept. has so far declined comment. Export sales at 56 mil. bu. were in line with expectations. YTD commitments at 1.070 bil. are up 36% from YA vs. the revised USDA forecast of up 26%. Commitments however at 51% of the USDA forecast are slightly below the historical average of 53%. The BAGE reports Argentina’s corn conditions improved 4% to 40% G/E while fair slipped 3% to 59% with only 1% of the crop considered poor or VP. They report plantings at only 49% compared to the Rosario Grain Exchange that placed progress at 60%. A number of agricultural groups in Argentina reportedly are rejected the new Govt. proposal to increase the corn and wheat export tax from 12% to 15%.
SOYBEANS
Prices were steady to $.01 lower today in rather uneventful trade. It was an inside day for Mch-24 with resistance at the 50 day MA at $4.92, followed by the 100 day MA at $4.98. Support is at the Nov-23 low at $4.70. Markets await key soybean crush data tomorrow and a potential announcement from the US Treasury Dept. regarding corn based ethanol. At midday wire services reported that President Biden favors recognizing the ethanol industry for sustainable aviation fuel tax credits under the Inflation Reduction Act. The Treasury Dept. has so far declined comment. Export sales at 56 mil. bu. were in line with expectations. YTD commitments at 1.070 bil. are up 36% from YA vs. the revised USDA forecast of up 26%. Commitments however at 51% of the USDA forecast are slightly below the historical average of 53%. The BAGE reports Argentina’s corn conditions improved 4% to 40% G/E while fair slipped 3% to 59% with only 1% of the crop considered poor or VP. They report plantings at only 49% compared to the Rosario Grain Exchange that placed progress at 60%. A number of agricultural groups in Argentina reportedly are rejected the new Govt. proposal to increase the corn and wheat export tax from 12% to 15%.
![QST Wheat Chart 12 14 23](https://www.admis.com/wp-content/uploads/2023/12/QST-Chart-Wheat-12-14-23.jpg)
WHEAT
Prices were steady to $.01 lower today in rather uneventful trade. It was an inside day for Mch-24 with resistance at the 50 day MA at $4.92, followed by the 100 day MA at $4.98. Support is at the Nov-23 low at $4.70. Markets await key soybean crush data tomorrow and a potential announcement from the US Treasury Dept. regarding corn based ethanol. At midday wire services reported that President Biden favors recognizing the ethanol industry for sustainable aviation fuel tax credits under the Inflation Reduction Act. The Treasury Dept. has so far declined comment. Export sales at 56 mil. bu. were in line with expectations. YTD commitments at 1.070 bil. are up 36% from YA vs. the revised USDA forecast of up 26%. Commitments however at 51% of the USDA forecast are slightly below the historical average of 53%. The BAGE reports Argentina’s corn conditions improved 4% to 40% G/E while fair slipped 3% to 59% with only 1% of the crop considered poor or VP. They report plantings at only 49% compared to the Rosario Grain Exchange that placed progress at 60%. A number of agricultural groups in Argentina reportedly are rejected the new Govt. proposal to increase the corn and wheat export tax from 12% to 15%.
See more market commentary here.
Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.
ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.
A subsidiary of Archer Daniels Midland Company.
© 2021 ADM Investor Services International Limited.
Futures and options trading involve significant risk of loss and may not be suitable for everyone. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. The information and comments contained herein is provided by ADMIS and in no way should be construed to be information provided by ADM. The author of this report did not have a financial interest in any of the contracts discussed in this report at the time the report was prepared. The information provided is designed to assist in your analysis and evaluation of the futures and options markets. However, any decisions you may make to buy, sell or hold a futures or options position on such research are entirely your own and not in any way deemed to be endorsed by or attributed to ADMIS. Copyright ADM Investor Services, Inc.
Latest News & Market Commentary
ADM & Industry News
Cocoa Market Remains Weather Sensitive
September 6, 2024
Crude Oil Subdued Reaction to Jobs Data
September 6, 2024