Corn is trading higher this morning after posting two solid days of gains last week which saw prices 10 cents higher.
The recent gains are likely from strength in export sales with corn exports now 30% ahead of last year’s pace. Ethanol grind has been making records as well, pointing to good domestic demand.
Friday’s CFTC report showed funds as sellers of corn as of December 3. They sold 9,222 contracts of corn which reduced their net long position to 88,220 contracts.
Soybeans are trading slightly higher this morning but have not broken out of their tight trade range like corn has over the past two days. Soybean meal is higher while soybean oil is slightly lower.
Early trade estimates for next week’s USDA report have ending stocks dropping only slightly to 469 mb from 470 last month. Although some believe export sales will be increased, which could lower ending stocks further.
Friday’s CFTC report showed funds as buyers of soybeans as of December 3. They bought back 9,255 contracts which left them with a net short position of 72,217 contracts.
All three wheat classes are trading higher this morning, and futures have rebounded well off their contract lows from last week. March Chicago wheat is now 23 cents above the low on Wednesday.
Early trade guesses for next week’s USDA report see US wheat carryout dropping 1 mb to 814 mb, with World wheat stocks increasing slightly to 257.7 mmt.
Friday’s CFTC report showed funds as sellers of Chicago wheat by 10,268 contracts leaving them short 69,386 contracts. They sold 7,769 contracts of KC wheat leaving them short 38,430 contracts.
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