Grains traded mixed in the overnight session as export headlines dominated news. Coming into the morning trade break corn is off 1/4 cent, soybeans down 7 1/2 and Chicago wheat up 1/4 cent.
March corn futures made a move higher in the overnight session before trading down to near unchanged. The South Koreans issued a tender for 70,000 tons of old crop corn in the overnight session, but have since rejected all offers sighting high prices. The Chinese government is said to be reviewing whether or not to accept cargos of the GMO strain rejected earlier this week in shipments moving forward. Stories like these continue to raise questions about export demand moving forward. As mentioned in yesterday’s comments, domestic demand remains strong.
January soybean futures traded lower in the overnight session in a largely technical trade. News overnight was very light, and we may be seeing some follow through selling from Thursday’s disappointing export sales report. Look for $13.11 to act as support to any move lower. The soybean market has established a trade range over the last week, but should find direction from next Tuesday’s USDA report.
Wheat futures are trying to find a bottom in today’s session following hard selling on Wednesday and Thursday of this week. Helping firm prices was a tender for 35,000 tonnes of US milling wheat from the Taiwan Flour Millers Association in the overnight session. $6.50 should act as support to March Chicago wheat futures, as European wheat prices remain near 7 month highs and a winter kill scenario remains on the table for the southern US plains over the weekend.