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9-17 Opening Update: Grains Trade Near Unchanged This Morning

ByGrain Market Insider

Grain Market Insider Interactive Quote Board

  • Corn futures are trading near unchanged this morning with December futures near 429 and May futures trading near 456.
  • Rains are forecast west of the Mississippi this week—likely slowing harvest but providing relief to falling river levels after recent dryness.
  • Corn futures have pushed above the 100-day moving average, with strong demand fueling the rally. Prices are nearing overbought territory just as harvest pressure looms.

Corn Futures Extend Higher: December corn futures extended gains following the release of the September WASDE report. Prices broke through the 100-day moving average, but face further technical resistance at the July 7 price gap.

  • Soybeans are lower to start the day following yesterday’s close higher. November soybeans are down 3-1/2 cents to $10.46-1/4 and March is down 3-1/2 cents to $10.80-1/2. October meal is up $0.30 to $286.40 and October bean oil is down 0.62 cents to 52.52 cents.
  • President Trump is set to speak with China’s President Xi on Friday regarding trade, with traders hopeful soybeans will be part of the talks.
  • The EPA on Tuesday issued a co-proposal to reallocate either 50% or 100% of small refinery exemptions for 2023–25, while also revising RVOs for 2026–27. A higher reallocation means more soybean oil demand for biofuels. 

Soybean Futures Press Higher: Soybean futures closed sharply higher following the release of the September WASDE report, breaking through the 100-day moving average. The next point of technical resistance can be found near $10.60, an area that has capped rallies since late June.

  • Wheat is trading near unchanged to start the day with December Chicago wheat near 534, December KC wheat near 523 and December spring wheat near 575. 
  • Both winter wheat futures pushed above upside resistance with yesterday’s close after word that three importers has bought large quantities of U.S. wheat. 
  • A Federal Reserve rate cut is expected in today’s meeting. If realized a cut could provide pressure to the U.S. dollar which has already been trending downward. 

Chicago Wheat Tests Resistance: Wheat futures broke through resistance at the 50-day moving average. Prices currently face strong technical resistance near 534 through the 100-day moving average.

KC Wheat Trends Sideways, Tests Lows: December KC wheat broke through its 50-day moving average in a strong fashion. The next area of technical resistance lies near 527, at the 100-day moving average.

Spring Wheat Tests Support: Futures remain rangebound as harvest advances, holding early August lows near 570 support. On the upside, the first point of strong resistance sits near 585 at the 50-day moving average. A second point can be found through a cluster of moving averages near 600.

Grain Market Insider is provided by Stewart-Peterson Inc., a publishing company.

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