November 24, 2023 Grain Commentary
Market Re-Cap 11/24/23
Today’s hard 8:30 open was a shortened session, but was not uneventful. Black Friday typically leads towards softer markets for wheat and beans, yet in the past four years, corn has traded higher. Beans and wheat followed suit, and corn fell under pressure with the others. See the chart below on Black Friday changes over the past ten years.
Corn– Corn shaved off 4.5-5 cents across contracts. Narrow spread holds current spreads from month to month. Corn weekly export sales were at the top of expectations, with 56 million bushels contracted for the 2023 marketing year. The impressive sales made the current week the fourth largest week.
Beans– Beans drop 26 from the January contract to the August 24 contract. The steady change holds spreads but perplexes the farmers who are looking for the next opportunity. Wide range bound beans are the most accurate description of beans over the past two weeks. Brazil’s weather improvement are narrowing the stress on the beans. Bean exports were at the bottom of expectations, with only 35.3 million bushels sold. Meal exports were average. However, oil contracts are at the third lowest sales week of the marketing year.
Wheat– Geopolitical unrest surrounds Ukraine, with no changes in the Poland blockade. US wheat exports continue to be low. COFCO China announced its first purchase of Canadian durum wheat. It is common for other Chinese companies to buy durum wheat, just a first for COFCO.
The DeLong Co., Inc.