Yesterday’s Close: July corn futures finished yesterday’s session up 10 ¼ cents, trading in a range of 22 cents. Funds were estimated buyers of 36,500 contracts.
Fundamentals: Yesterday’s USDA report was more bullish than many analysts had been expecting. The USDA had yield at 166.0 bushels per acre, down from 176 in their May report, the biggest month to month drop on record. The drop in yield obviously put a dent on production estimates too, the USDA came in at 13.68 billion bushels, well below the average estimate of 14.251. The cherry on top was a reduction of 3 million acres, something that is often left unchanged in this report. Perhaps the USDA was aggressive in this report because they think they will have to make further reductions in future reports.
Technicals: The market tested and held technical: Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com
Yesterday’s Close: July soybean futures finished yesterday’s session down 2 ¼ cents, trading in a range of 13 ¼ cents. Funds were estimated buyers of 2,500 contracts.
Fundamentals: Yesterday’s USDA report had yield coming in at 49.5 bushels per acre, in line with last months report. Total production is estimated to be at 4.15 billion bushels, also unchanged and above expectations. The USDA did little to change the fundamental front for soybeans as they generally have a later planting window and are more resilient. With that said, forecasts continue to look wet over the next two weeks and that could cause prices to work higher. We have gone from outright Neutral to Bullish/Neutral.
Technicals: Soybeans were able to....Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com
Yesterday’s Close: July Chicago wheat futures finished yesterday’s session up 11 ¼ cents, trading in a range of 18 ½ cents. Funds were estimated buyers of 11,000 contracts.
Fundamentals: Despite a bigger than expected production number, wheat managed to work higher, likely in tandem with money flow from the corn market and continued concerns regarding weather in the Black Sea region. The USDA has all wheat production at 1.903 billion bushels, the average analyst estimate was 1.883.
Technicals: The market is....Get our full report (outlook/market bias/ technical levels) emailed to you every day, click HERE or email Oliver@BlueLineFutures.com
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