Grains Report: Prices Retreated Ahead Of WASDE

WHEAT
General Comments: Wheat was a little lower in both markets yesterday in trading before the WASDE reports that will be released later today. The emergence of Winter Wheat are ahead of normal with improved weather in the Great Plains. Both sides in the Russia-Ukraine war have reported an export pace more than 50% less than a year ago. The US Winter Wheat planting was 89% complete last week and Winter Wheat was 76% emerged. Condition is rated 49% good to excellent. Conditions are mixed in the US Midwest. The weather is now featuring scattered showers for parts of the Midwest along with moderate temperatures after a got week last week. The Great Plains should get scattered showers in all areas. President Trump said on Friday that he expects an agreement to be signed very soon in the Russia-Ukraine conflict that would be beneficial to all sides including all of Europe.
Chart Analysis: Trends in Chicago are mixed. Support is at 580, 568, and 556 December, with resistance at 621, 645 and 662 December. Trends in Kansas City are mixed. Support is at 616, 608, and 596 December, with resistance at 676, 711, and 725 December. Trends in Minneapolis are not available

RICE
General Comments: Rice closed lower yesterday on some long liquidation before the WASDE reports today. Less domestic production this year is reported and there are worries about El Nino hurting world production. Brazil prices are strong on ideas of short production and El Nino fears for production on the next crop. Demand remains moderate for US Rice and was moderate to good last week. El Nino is threatening production in Asia and Indian prices remain high and are going higher, Trends are mixed on the daily charts and are up on the weekly charts.
Chart Analysis: Trends are mixed. Support is at 1755, 1735, and 1710 January and resistance is at 1833, 1856, and 1868 January.

CORN AND OATS
General Comments: Corn was lower yesterday on trading before the USDA reports later today and on reports of good harvest progress amid warm and dry weather. Ideas are that USDA will show increased production potential in its reports net week. Trends are down on the daily and weekly charts. There is moderating weather in the western and southern Midwest with mostly dry conditions. Harvest has been active in most areas of the Midwest with good but not great yields being reported. Ukraine and Russia are still at war and shipping is very limited in both countries. It should be cooler with drier weather in the Midwest this week. Progress is below normal and the harvest is now 81% complete. Oats were lower and trends are down on the weekly charts.
Overnight News: USDA said that 312,700 tons of Corn were received for delivery to Meico.
Chart Analysis: Trends in Corn are mixed to down . Support is at 436, 430, and 424 December, and resistance is at 470, 478, and 488 December. Trends in Oats are mixed to down. Support is at 330, 327, and 324 December, and resistance is at 370, 383, and 405 December.

SOYBEANS
General Comments: Soybeans and the products were lower yesterday n trading before the USDA reports today on great harvest progress and on ideas that USDA will show increased production potential in its reports net week. Crude Oil futures were lower last week and the selling spilled into Soybeans and the products. The weekly chart trends are down in Soybeans and Soybean Meal and are mixed to down in Soybean Oil. China is expected to buy more cargoes of US Soybeans in the coming weeks but the tariffs will remain high. Lula was elected president of Brazil recently It was a surprise to the market and hurt the Real against the Dollar and Ag prices generally, especially those featuring selling from Brazil. The harvest was 91% complete last week. Cooler and dry weather is likely in the north.
Overnight News:Meico bought 15s0,000 tons of US Soybeans.
Chart Analysis: Trends in Soybeans are mixed to down. Support is at 1180, 1171, and 1160 January, and resistance is at 1250, 1262, and 1276 January. Trends in Soybean Meal are down. Support is at 314.00, 311.00, and 308.00 December, and resistance is at 353.00, 361.00,and 369.00 December. Trends in Soybean Oil are mixed to down. Support is at 6170, 6060, and 6000 December, with resistance at 6740, 6880, and 7010 December.

PALM OIL AND CANOLA
General Comments: Palm Oil was higher today on bullish inventory data from MPOB. Canola was lower and trends are still generally down on the daily and weekly charts.
Chart Analysis: Trends in Canola are mixed to down. Support is at 747.00, 750.00, and 734.00 January, with resistance at 796.00, 818.00, and 829.00 January. Trends in Palm Oil are mixed to down. Support is at 4320, 4260, and 4200 January, with resistance at 4780, 4\850, and 4890 January.