Schwieterman Grain Comments

Corn 

Trends 

Short Term: Down

Long Term: Down 

Overnight Trade: H -1 @7:30 AM

The March corn didn’t make a new contract low overnight and currently has a double bottom at $4.22 ¼. It would be great if that held, but so far we have no indication of a change in trend. Export sales were good again at 1.3 MMT, which is double what we need to see each week, which means that if we keep this pace up for another 6 weeks, USDA will probably have to increase the export estimate.

Wheat 

Trends 

Short Term: Down 

Long Term: Down 

Overnight Trade: Chicago: H -9 KC: H -12 @7:30 AM

The March KW made another new contract low overnight and the March Chicago wheat is getting closer. Export sales were mediocre at 349,300 MT, which will not get anyone excited about buying wheat. Other than the export sales, fresh news is hard to come by. The Dollar Index has given up the bulk of Tuesday’s gains, but that isn’t much to go off of.

Soybeans

Trends 

Short Term: Down 

Long Term: Down 

Overnight Trade: H -3 @7:30 AM

March soybeans made another new low for the move overnight and appear to be headed for $11.50 at some point. Export sales were poor at 353,800 MT. S. American production estimates are still shrinking, but that  doesn’t matter if we don’t see better export sales. We have a crush report out later today, which hopefully shows that we still have good domestic demand.