Summary & recommendations for corn, soybeans and wheat this week.
Corn
Corn situation after the close Tuesday, June 7th, 2022:
December corn settled Tuesday at $7.14.
Price Change Tuesday to Tuesday: up $0.02½.
The past week’s high was $7.20¼, the low was $6.82.
24-month high $7.66¼ made May 16, 2022;
24-month low $3.69 made June 26, 2020;
24-month range is $3.97¼.
Yesterday’s closing price is:
$0.52¼ below the 24-month high;
$3.45 above the 24-month low.
USDA’s 2021 crop carryout in terms of days’ use: US: 31, world: 90
USDA’s 2022 crop carryout in terms of days’ use: US: 37, world: 90
Seasonal Trend is up into third week of June
Fundamentals: With normal weather, the top has been made but will be tested before July 5th
Technical Situation: Sideways
Price Above Breakeven? Yes
Conclusion: Sell all 2022 corn on a December HTA at $7.50, wait to buy puts
This week's Bullish Consensus:
Corn | Grainstats | Wright on the Market |
bullish | 52% | 50% |
neutral | 23% | 40% |
bearish | 29% | 10% |
Soybeans
Soybean situation after the close Tuesday, June 7th, 2022:
November Soybeans settled Tuesday at $15.49¾.
Price Change Tuesday to Tuesday: up $0.40¼.
This past week’s high was $15.64½, the low was $15.03¼.
24-month high $15.64½ on June 8, 2022;
24-month low $8.81 on August 7, 2020;
24-month range is $6.83½.
Tuesday’s closing price is:
$0.14¾ below the 24-month high;
$6.68¾ above the 24-month low.
USDA’s 2021 crop carryout in terms of days’ use: US: 10, world: 86
USDA’s 2022 crop carryout in terms of days’ use: US: 12, world: 87
Seasonal Trend is up
Fundamentals are Bullish
Technical Situation is Bullish
Price Above Breakeven? Yes
Conclusion: Don’t Sell
This week's Bullish Consensus:
Soybeans | Grainstats | Wright on the Market |
bullish | 39% | 70% |
neutral | 33% | 30% |
bearish | 28% | 0% |
Wheat
Wheat situation after the close Tuesday, June 7th, 2022:
July KC Hard Red Winter Wheat settled Tuesday at $11.49¼.
Price Change Tuesday to Tuesday: down $0.16¼.
Last week’s high was $11.84¾, the low was $11.12½.
24-month high is $13.79¼ on May 17, 2022;
24-month low is $5.03¼ on August 24th, 2020;
24-month range is $8.76.
Tuesday closing price is:
$2.30 below the 24-month high;
$6.46 above the 24-month low.
USDA’s 2021 crop carryout in terms of days’ use: US: 124, world: 129
USDA’s 2022 crop carryout in terms of days’ use: US: 120, world: 124
Seasonal Trend is down
Fundamentals outlook is bearish
Technical Situation is down short term, up long term
Price Above Breakeven? Yes.
Conclusion: Sell 2022 HTA July at $12.08 or higher, get it sold;
Sell 2023 HTA KC July wheat $8.35, filled March 21st, get it sold
This week's Bullish Consensus:
Wheat | Grainstats | Wright on the Market |
bullish | 50% | 25% |
neutral | 32% | 13% |
bearish | 18% | 63% |
