Grain Express 05/16/22
Posted: May 16, 2022, 6:53 a.m.
Corn (July)
Commitments of Traders: Friday’s Commitments of Traders report showed Managed Money were net sellers of 14,956 futures/options, through May 10th. This trims their net long position to 338,562 futures/options. Broken down that is 375,782 longs VS 37,220 shorts.
Fundamentals: Corn futures opened sharply higher last night, thanks to spillover buying from wheat. Also helping prices was a correction from last week’s CONAB report that lowered Brazilian production to 114.6mmt from 116.2mmt. Attention in the corn market will likely shift back to weather, with the weekly crop progress report coming out after the close. Analysts are expecting to see U.S. corn planting at 47% complete.
Technicals Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
Levels Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
Soybeans (July)
Commitments of Traders: Friday’s Commitments of Traders report showed Managed Money were net sellers of 22,591 futures/options, through May 10th. This trims their net long position to 130,661 futures/options. Broken down that is 147,662 longs VS 17,001 shorts.
Fundamentals: Yesterday’s USDA report was relatively Neutral. U.S. ending stocks came in at 1.36 billion bushels, in line with estimates. World ending stocks came in at 85.24 which was below expectations, but new crop world ending stocks was above expectations. South American production numbers were within the range of expectations.
Technicals Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
Levels Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
Wheat (July)
Commitments of Traders: Friday’s Commitments of Traders report showed Managed Money were net buyers of 4,641 futures/options, through May 10th. This expands their net long position to 15,547 futures/options. Broken down that is 86,968 longs VS 71,421 shorts.
Fundamentals: Wheat prices got shot out of a cannon on Sunday night, trading to limit up at one point. The big move higher comes on the back of more headlines from India regarding a ban on exports. On May 4th we noted in our daily commentary that there were rumors of this being a possibility. Those rumors were quickly shot down by the head of the country’s Agricultural department. Two weeks later, it’s a reality. Inia is the world’s second largest wheat producer and though most of their wheat is sold domestically, it was thought that they could fill some of the gap from a drop in Ukrainian exports. It should be noted that the export ban seems to be flexible, with a Government to Government window still open. It was noted that “Government does not want wheat to go in an unregulated manner to places where either it might just get hoarded or may not serve the food requirements of vulnerable nations.”.
Technicals Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
Levels Premium
🔒 You need to be a Premium User to unlock this content. Click here to unlock.
In case you haven't already, you can sign up for a complimentary 2-week trial of our complete research packet, Blue Line Express.
Sign up for a Free Trial
Start Trading with Blue Line Futures
Don't have an account with Blue Line Futures?
Futures trading involves substantial risk of loss and may not be suitable for all investors. Therefore, carefully consider whether such trading is suitable for you in light of your financial condition. Trading advice is based on information taken from trade and statistical services and other sources Blue Line Futures, LLC believes are reliable. We do not guarantee that such information is accurate or complete and it should not be relied upon as such. Trading advice reflects our good faith judgment at a specific time and is subject to change without notice. There is no guarantee that the advice we give will result in profitable trades. All trading decisions will be made by the account holder. Past performance is not necessarily indicative of future results.
Blue Line Futures is a member of NFA and is subject to NFA’s regulatory oversight and examinations. However, you should be aware that the NFA does not have regulatory oversight authority over underlying or spot virtual currency products or transactions or virtual currency exchanges, custodians or markets. Therefore, carefully consider whether such trading is suitable for you considering your financial condition.
With Cyber-attacks on the rise, attacking firms in the healthcare, financial, energy and other state and global sectors, Blue Line Futures wants you to be safe! Blue Line Futures will never contact you via a third party application. Blue Line Futures employees use only firm authorized email addresses and phone numbers. If you are contacted by any person and want to confirm identity please reach out to us at info@bluelinefutures.com or call us at 312- 278-0500
Like this post? Share it below:
Back to Insights
In case you haven't already, you can sign up for a complimentary 2-week trial of our complete research packet, Blue Line Express.
Free Trial