Grains Report - Wednesday, October 14

WHEAT
General Comments: Wheat was higher in both markets yesterday as the selling seen after the WASDE reports abated USDA on Friday showed a slight increase in production and a cut in demand for ending stocks estimates of 740 million bushels, from 717 million last month. 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 51% complete last week and was 27% emerged. 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 big rains in southern areas. A hurricane was seen in southern areas with big rains forecast for the weekend or this week.
Overnight News:
Chart Analysis: Trends in Chicago are down. Support is at 645, 636, and 618 December, with resistance at 692, 706 and 711 December. Trends in Kansas City are down. Support is at 712, 693, and 657 December, with resistance at 743, 760, and 780 December. Trends in Minneapolis are not available

RICE
General Comments: Rice closed higher and made new highs for the move. Damage to unharvested crops is reported from the hurricane and there are worries about El Nino hurting world production. USDA on Friday trimmed production of All Rice to 157.7 million cwt from 158.2 million in September. Ending stocks were cut to 40.0 million cwt from 4a0.3 million last month. Long grain production 2was estimated at 103.2 million cwt from 103.5 million last month. Ending stocks were estimated at 21.1 million cwt from 21.4 million last month. Brazil prices are strong on ideas of short production and El Nino fears for production on the next crop. Harvest is 92% complete. Demand remains moderate to poor for US Rice and was moderate last week. El Nino is threatening production in Asia and Indian prices remain high and are going higher, Trends are up on the daily charts and are up on the weekly charts,
Chart Analysis: Trends are up. Support is at 1700, 1670, and 1652 November and resistance is at 1736, 1748, and 1760 November.

CORN AND OATS
General Comments: Corn was higher on reports of end user buying and no farm selling. The USDA report released on Friday showed that production was estimated at 16.034 billion bushels from 15.800 billion last month. Yield was estimated at 181.2 bu/acre. Ending stocks were estimated at 1.849 billion bushels from 1.567 billion last month. Trends are down on the daily charts. There is moderating weather in the western and southern Midwest with a lot of rain in the forecast mostly in the west this week. Harvest has been active in some 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 some wet weather in the Midwest this week. The crop conditions were higher from last week and below aa year ago. Progress is about normal and the harvest is now 91% mature and 33% complete Temperatures in the Midwest should be cooler this week amid mostly dry weather. Big rains are likely in the south especially this past weekend and early this week from a hurricane. Oats were slightly higher.
Chart Analysis: Trends in Corn are mixed to down . Support is at 470, 464, and 458 December, and resistance is at 486, 505, and 509 December. Trends in Oats are mixed. Support is at 406, 403, and 390 December, and resistance is at 440, 443, and 446 December.

SOYBEANS
General Comments: Soybeans and Soybean Oil were higher and Soybean Meal was lower yesterday. USDA on Friday said that Soybeans production was estimated at 4.562 billion bushels from 4.535 billion last month. Yield was estimated at 53.1 bu/acre. Ending stocks were 315 million bushels from 310 million last month. China is expected to buy more cargoes of US Soybeans before the US-China summit meetings in the coming weeks but the tariffs will remain high and traders are getting nervous about the lack of sales now. The harvest was 46% complete last week. Rain is expected this week in the south and cool and dry weather is likely in the north. The southern rains could be heavy as a hurricane is expected to hit the region. Condition is unchanged from the previous week. Moderate temperatures are expected for the next week in the Midwest. There is some concern that El Nono could affect South American Soybeans production this year.
Overnight News: China bought 470,000 tons of US Soybeans.
Analysis: Trends in Soybeans are mixed. Support is at 1270, 1256, and 1244 November, and resistance is at 1335, 1348, and 1360 September. Trends in Soybean Meal are mixed. Support is at 345.00, 343.00, and 337.00 December, and resistance is at 374.00, 380.00,and 386.00 December. Trends in Soybean Oil are mixed to up. Support is at 6660, 6600, and 6540 December, with resistance at 7070, 7170, and 7220 December.

PALM OIL AND CANOLA
General Comments: Palm Oil was higher today on reports of strong export demand. Daily chart trends are mixed to down and weekly trends are mixed. Canola was higher yesterday and trends are mixed on the daily charts.
Chart Analysis: Trends in Canola are mixed. Support is at 805.00, 793.00, and 782.00 November, with resistance at 844.00, 856.00, and 868.00 November. Trends in Palm Oil are mixed to up. Support is at 4620, 4550, and 4490 December, with resistance at 4800, 4890, and 4960 December.