The USDA report is behind us. Now what?

Published on: 14:04PM Dec 12, 2018

Grain Express

 

December 12, 2018

 
 

 Corn (March)

 

Yesterday’s Close:  March corn futures finished yesterday’s session up 1 ½ cents, trading in a range of 4 ¾ cents.    Funds were estimated buyers of 5,000 contracts on the day. 

 

Fundamentals:  The USDA had pegged U.S. carryout at 1.781 billion bushels, this was a notch above the average analyst estimate of 1.744 billion bushels but within the range of expectations.  You can tell by looking at the daily chart that this was about as “blah” of a report as you can get.  Attention will continue to be on money flow and technicals until we get a more meaningful fundamental catalyst to give the market new directions, that may not come until next month’s USDA report which historically carries much more weight. 

 

Technicals:  The market is....To get our full report emailed to you each morning, click HERE or email Oliver@BlueLineFutures.com.

 

Soybeans (January)

 

Yesterday’s Close:  January soybeans finished yesterday’s session up 5 ¾ cents, trading in a range of 11 ¼ cents.  Funds were estimated buyers of 6,000 contracts on the day. 

 

Fundamentals:  The USDA showed U.S. carryout at .955 billion bushels, this was within the range of estimates and unchanged from the previous month.  The fact that it wasn’t an overly bearish report was enough to spur some short covering in the afternoon and into this morning’s session.  Attention will turn back to trade negotiations with China and money flow.  In our recent reports we have been optimistic on prices due to money flow and technicals (see below).

 

Technicals:  The market has been....To get our full report emailed to you each morning, click HERE or email Oliver@BlueLineFutures.com.

 

Wheat (March)

 

Yesterday’s Close:  March wheat futures finished yesterday’s session down 3 cents, trading in a range of 11 ½ cents.  Funds were estimated sellers of 3,000 contracts on the day.

 

Fundamentals:  The USDA had U.S. wheat carryout at .974 billion bushels, this was slightly above the average analyst estimate of .969, but within the range of estimates.  With projected exports dropping and world production increasing, the market saw pressure flowing the report.  That pull back is being bought in the overnight and early morning session, if this action can be confirmed by more volume on the floor open, the bulls have something to be happy about.  Technicals have also been turning friendly, something we have been talking about in the technical section in the past few reports (see below).

 

Technicals:  The market managed to....To get our full report emailed to you each morning, click HERE or email Oliver@BlueLineFutures.com.

 

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