- Markets traded mixed overnight with soybeans up slightly, wheat down a few cents and corn essentially unchanged.
- Export sales this morning for wheat 71,500 MT (250-450 expected), corn 437,800 MT (350-650), soybeans 607,400 MT (500-850).
- Disappointing exports across the board.
- CONAB put Brazil bean production at 110.4 MMT and Brazil corn production at 92.3 MMT.
- Corn technically is sitting in the middle of the range. Downside targets on a bearish report are 12 cents below the market at 3.36. Resistance overhead at 3.55 and 3.60.
- Soybeans technically pushed to new lows yesterday, continuing the lower trend that started in December. Support at 9.30 and resistance at 9.80.
- Wheat technically is trying to turn higher with the 50 DMA providing stiff resistance so far. Support at 4.25 and resistance at 4.33.
- USDA reported 132,000 MT of soybeans 2017/18.
- Brazil catches rains over the next couple of weeks except for the north where up to 15% of corn/soybean areas will dry out.
- Argentina has chances for rains in the 6-10 and 11-15 periods.
- US plains may get some moisture in the next 10 days, but dryness returns after that.
- Corn remains range-bound. The news is slow until we get the report tomorrow. I think buyers will step in on a bearish report while sellers (producers) limit upside on a bullish report.
- Soybeans resumed their lower trend yesterday. The outlook for Brazil has some areas drying out, so I think it may be time to pump the breaks on selling. Longer term, though, soybeans have the weakest fundamentals.
- Wheat is running into some resistance and the report tomorrow is probably going to be lacking anything overly bullish or bearish. I think a low is in place, so look to buy on pullbacks.
Fun Fact of the Day: The U.S. hosted its first Olympics in 1904 in St. Louis, Missouri. The last U.S.-hosted summer Olympics were held in Atlanta in 1996, preceded by Los Angeles in 1984 and 1932 and by St. Louis in 1904.