Market Analysis
Scott Varilek with Kooima Kooima Varilek says corn and soybeans were supported by strong demand initially but ended off highs running into chart resistance and on election jitters. After another volatile day in cattle is the market topping?
Darin Newsom, Sr. Market Analyst with Barchart says some of the early support in the grain markets Friday morning is coming from strong export demand.
Joe Santos, Director of the Ness School of Management and Economics at SDSU, says, “Interest rates if they remain relatively high compared to history I think that will continue to tighten economic performance in general including agricultural performance.”
Mike Minor with Professional Ag Marketing says soybeans saw a nice short covering bounce on the heels of a rally in soybean oil and more flash export sales to China and unknown.
Mike Zuzulo, Global Commodity Analytics, says wheat led gains putting in risk premium on the low crop rating which triggers some short covering and corn followed.
Grain futures are seeing corrective buying, bouncing off technical support says Kent Beadle with Paradigm Futures.
Arlan Suderman with StoneX says grains saw technical and risk off selling from sharply lower crude oil. However, improved rains in South America were also a factor.
Cattle are trading two-sided early as Brad Kooima of Kooima Kooima Varilek says the market is digesting the USDA Cattle on Feed Report. Grains are seeing pressure from a number of bearish factors.
Jerry Gulke, president of the Gulke Group, says price performance might have been a little disappointing but that’s because of USDA’s lofty ending stocks estimates at nearly 2 billion bushels for corn and 550 million bushels for soybeans.
Bryan Doherty, Total Farm Marketing, says grains saw profit taking on Friday after hitting chart resistance and a pick up in farmer selling.