Corn, Soybeans and Wheat Are Mixed to Higher

CME GLOBEX RECAP:

December corn is unchanged, November soybeans are up 3. December KC wheat is up 1 3/4, Dec Chicago wheat is unchanged, and December MIAX Minneapolis wheat is up .0100.

OUTSIDE MARKETS:

December corn is unchanged, November soybeans are up 3. December KC wheat is up 1 3/4, Dec Chicago wheat is unchanged, and December MIAX Minneapolis wheat is up .0100. The Dow Jones Industrials Index fell 334 points on Wednesday and Dow futures are down 100 points early Thursday. November crude oil is up $2.74 per barrel. The U.S. Dollar Index is up .111 and November gold is up $64.40 an ounce.

CORN:

December corn is unchanged early Thursday but looking to move higher for the seventh time in the past 8 trading days. Volume appears to be light, and the range has been narrow for the past few weeks. The government shutdown continues for a 22nd day. Along with soybean traders, corn traders are hopeful that a trading deal can be worked out when U.S. representatives meet with China trade representatives in Malaysia over the weekend in a scheduled meeting. After that, it is now confirmed that President Trump will meet with Xi of China next week to advance trade talks. Also supportive is a U.S.-India trading pact expected to be signed soon. Crude oil is up sharply early Thursday following the Trump sanctions on Russia’s two largest oil companies in a further effort to end the Russia-Ukraine war. EIA’s weekly petroleum status report also boosted corn Wednesday following ethanol production reaching 1.112 million barrels per day and the second largest level on record. Corn export demand has been solid, but without government data and only corn inspections to go on, one can only assume. Inspections for the year are 61% higher than a year ago. Weather features some showers in Great Lakes and a system set to bring rain showers and storms into the Southern Plains. South American weather remains very favorable into November. Rain in southern Brazil and Argentina moves into central and northern Brazil in the 10-day period. December corn is above all key moving averages again with the next resistance on a further rally near the September high at $4.31. DTN’s National Corn Index closed at $3.84 and 39 cents below the December contract.

SOYBEANS:

Soybeans continue to rise on optimism that some sort of trade deal can be inked with China following meetings in Malaysia and Trump’s meeting with Xi of China next week. November beans have been higher for the sixth time in the past 7 days, mostly buoyed by hope rather than any business. Farmers appear to be storing soybeans hoping to capitalize on future strength. However, it may be too late for a majority of expected soy sales to China this year, with only a small window from December into January before new-crop Brazilian soy becomes available. In the February forward slot, Brazilian FOB offers are sharply discounted. Soybean meal has also been on a solid move higher, having finished up for the last 7 days before turning a bit weaker early Thursday. Soybean oil has been moving mostly sideways but is firmer early Thursday with the rally in crude oil. The soybean basis at the Gulf is reported to have popped by 10 to 12 cents on a CIF basis on the heels of slow farmer selling and rising barge freight as water levels remain low. Weather in South America could not be better as southern showers are expected to move into central and northern Brazil and the 16- to 30-day outlook is mostly wet for Brazil. Soy seeding in both Parana and Matom Grosso is surging to well ahead of average planting pace with Brazil expected to produce yet another record soy crop in 2026. All eyes will be on news from the trade meetings in the coming days. DTN’s National Soybean Index closed at $9.63 with a soybean basis of 72 under the November futures.

WHEAT:

The wheat markets are mixed to higher and hoping to extend the rally for a second day. MIAX Minneapolis, following a series of contract lows this week, is up a penny and continues to be drastically oversold. Rising world production and supplies from major exporters has been the overriding theme. Carry in stocks for major exporters are estimated to be up close to 18 mmt (661 mb) from last year and the largest in some 15 years. There are rumors that China is seeking offers of Argentine wheat, which is currently the world’s cheapest offer. Overnight, Algeria is reported to have bought 600,000 metric tons (mt) of optional milling wheat with some of that possibly involving Argentina, but the lion’s share expected to be sourced from Romania, Bulgaria and Ukraine. Supportive are reports that a new trading deal with India could soon be signed. Showers and storms are forecast to move into the Southern Plains later Thursday with some heavy rain possible into the weekend. Funds remain short in wheat and the bearish trend is still in force. DTN’s National HRW Index closed at $4.19 and 69 under the December futures board.

Dana Mantini can be reached at Dana.Mantini@dtn.com