Daily US grain report: less risk aversion at mid-week benefits grain market bulls

US grain futures prices were higher in overnight trading.

18 September 2019

7 minute read

By: The Poultry Site

North America

Corn was up around 2 cents, soybeans around 2 cents higher and wheat about 3 cents higher.

Geopolitical tensions have eased just a bit at mid-week, which is prompting the bulls to step back into the grain futures markets as buyers.

Bears have chart advantage but price downtrend is now in jeopardy; more gains this week would negate the downtrend to suggest a market bottom in place
© Jim Wyckoff

Traders are now reckoning "harvest lows" are in place for grain prices, amid US-China trade relations that appear to be improved the past week, including some fresh purchases of US soybeans from China.

Weather in the US Corn Belt remains very warm, which is being read as neutral to bearish for the grains. There are no worries regarding a killing frost for the region.

This week's pause following recent gains is not bearish, but bulls now need to step up and show some strength
© Jim Wyckoff

Traders are looking forward to getting anecdotal reports from US farmers regarding corn and soybean yields, once their combines start rolling through their fields.