Daily Ag Direction 6/25/24
Good Morning!
It’s not exactly a Turnaround Tuesday but wheat does feel support at $5.75. We traded up to $5.85 in the overnights, before moving into the meat of the day session down 5 cents. Demand continues to be light and harvest pressure will have the bears in control. Be mindful if the market starts to explore chart territory higher as we may hit short term sell targets for producers. As mentioned above, if you thought $5.85 was a good price, a limit offer would have filled in the overnights. Let us know if we can help you utilize this tool in your marketing strategy. Egypt is tendering for wheat in the Aug 21-31 or Sept1-10 delivery window. It appears that Russian bids are no longer hampered by a minimum price policy so they will start to be more competitive. Various other small demand stories but otherwise the market is quiet. Corn continues lower for the 4th straight session. The farmer sees flooding as a bullish indicator and trade thinks “Rain makes corn”. We still see decent demand on price breaks but there isn’t enough bullish information to make a wholesale change in market direction. Beans see a big selloff today after processor demand was cited for the increase yesterday. Hopefully we see good export sales data on Thursday to reinvigorate this market.
July ’24 KC Wheat -5.0 @ $5.77
July ’25 KC Wheat -6.6 @ $6.14
July Corn -6.2 @ $4.27
Dec Corn -7.0 @ $4.45
July Beans -13.0 @ $11.62
Nov Beans -18.5 @ $11.12
Sept Feeders +0.075 @ $259.725
Aug Live -0.250 @ $184.550
Please reach out to your CEA Risk Management Advisor if you have any questions. Have a great day!