Is the bottom in for beans?
Blue Line Futures is a futures and commodities brokerage firm providing actionable proprietary research and a trade desk to speak with as much or as little as you want.
📉 Sign up below for a FREE trial of our daily commentary!📈
https://bluelinefutures.com/2023-signup/?utm_source=Barchart
Below are estimates for some of the “big-ticket” items in Thursday’s WASDE report.
Grain Market Recap
In the early morning trade, it looked as though things could turn south quickly, but grain markets, particularly corn and beans, were able to find their footing following the 8:30 open.
Corn
At the close March corn futures were unchanged at 442 ¾. New crop December futures gained a penny to settle at 477 ¾. The velocity of the selling pressure has slowed, which could indicate an area of interest for buying activity. Mexico was in the market with a flash sale reported this morning for 155,000 metric tons of corn, or about 6.1 million bushels. Weekly export inspections were reported at 624,295 metric tons. This was down from 926k last week, but up from 494k last year.
Soybeans
Soybeans were the most impressive of the grains in today’s trade, marking a low at the 8:30 open and closing at the highs of the session. Generally, that would lend a hand to some follow-through buying, but Bulls are likely hesitant to trust today’s reversal as we’ve seen recent instances where the market fell flat following price action like we saw today. At the close March soybean futures were 7 ¾ cents higher to settle at 1196 1/4, about 17 cents off the early morning low. New crop November soybeans settled the day 5 ¾ cents higher to 1176 ¾. Weekly export inspections were reported at 1,426,472 MT, up from 913k last week but down from 1.8mmt last year.
Wheat
Wheat futures were the weak link today with the March contract settling 9 ½ cents lower to 590 1/4. The US Dollar continued to surge higher in today’s trade, reaching levels not seen since the middle of November, this was likely an added headwind to the market. Weekly export inspections were reported at 266,269 MT. Down from 284k last week and 591k last year.
Livestock Market Recap
Livestock futures were under pressure in today’s trade on what was largely presumed to be profit-taking following nice gains in cattle and hogs last week.
Cattle
April live cattle futures finished the day 1.40 lower to settle at 182.35. This was enough to erase all of Friday’s gains and eat into about half of last Thursday’s rally. March feeder cattle futures finished the day 2.05 lower to settle at 242.75. As with live cattle, this was just enough to erase about half of Thursday’s leg higher.
Lean Hogs
On the snout side, the most actively traded April contract settled the day 1.62 lower to 82.20. That brough prices back the secondary breakout point at the end of January.
📉Futures trading involves substantial risk of loss and may not be suitable for all investors. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.
📈Blue Line Futures is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that the NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets. Therefore, carefully consider whether such trading is suitable for you considering your financial condition.
With Cyber-attacks on the rise, attacking firms in the healthcare, financial, energy and other state and global sectors, Blue Line Futures wants you to be safe! Blue Line Futures will never contact you via a third party application. Blue Line Futures employees use only firm authorized email addresses and phone numbers. If you are contacted by any person and want to confirm identity please reach out to us at info@bluelinefutures.com or call us at 312- 278-0500