ADM Morning Grain Comments 9/22/17

Good Morning,

As of 7:10 AM

Corn: DEC17 +1’6 @ 352’0; MAR18 +1’4 @ 364’4

Beans: NOV17 +8’0 @ 978’6; JAN18 +7’6 @ 988’6

Wheat: DEC17 +2’2 @ 454’6

Crude: SEP17 -0.16 @ 50.43

September 22, 2017 by Steve Freed 

Grains are higher. Increase China demand and South America weather may be helping soybeans, SX is up 8 cents and near 9.79. CZ is up 2 cents and near 3.52. WZ is up 2 cents and near 4.54. US Dollar is lower. Crude is lower. Gold is higher. N Korea tension may be weighing on US Dollar and US stocks.

For the week, Winter Wheat prices are up roughly 5 cents, Spring up 8; Corn down 2 cents; Soybeans up 10; Soymeal up $5.00, and; Soyoil down 30 points. Soybean supported by demand. Corn and wheat may be following but large global supply may offer resistance. USDA Sep 1 stocks report Sep 29. Next US and World crop report Oct 12.

Chinese Ag futures (January) were up 15 yuan in Soybeans, up 13 in Corn, up 31 in Soymeal, down 76 in Soyoil, and down 68 in Palm Oil-----The Malaysian Palm Oil market was closed for holiday.

The Midwest US weather forecast has no major changes with average to above average precip for the far western Midwest, below average in the east. Temps will be running above average for much of the next week to ten days.

The Southern US Plains weather has no major changes with average to above average precip mainly developing over the weekend and the first half of next week. Temps are seen running above average the next 7 days with some cooling by the end of next week.

The 11-16 day U.S. forecast has average to above average precip for the Northern Plains and Northern Midwest with limited rains elsewhere. Temps would be average in the Plains and Midwest with no cold air threats.

Funds bought 1,000 soybeans, 2,000 soymeal and 3,000 wheat and sold 3,000 soyoil on Thursday. Funds are estimated to be long 6,000 soybeans, short 25,000 soymeal, long 95,000 soyoil, short 124,000 corn and short 80,000 wheat.

Support Resistance

Nov Beans 965 980

Dec Bean Oil 34.25 34.55

Dec Meal 310 317

Dec Corn 347 355

Dec CGO Wheat 450 460