AM Comments 11/19/14
Wednesday, November 19, 2014, 8:11 AM
Submitted by: Dustin Weiner
The markets were mixed to mostly lower last night with surprisingly strong volume trading in corn. This is likely due to Dec corn trading below some key technical points which is causing the funds to liquidate some of their huge long positions that have been put on the last 6 weeks or so. Short term, the technicals in corn are looking a bit bearish.
The soy complex is in a strange spot as nearby cash soybean meal is still trading at a strong premium which is thought to be related to transportation issues – not supply issues. There continues to be rumors that additional cargoes of US export meal sales have been shifted to load in South America which would of course cause the meal market to slip.
Overall for today, the markets may continue their downward correction but most feel that it will be limited in corn and soybeans while the soybean meal market potentially has room for bigger losses which could drag the whole soy complex with it.
Corn 2 to 3 cents lower
Soybeans 8 to 12 cents lower
Have a great day!