Markets are trading mostly lower overnight in a quiet trade after markets reversed gains on Thursday.

Managed funds on Thursday were estimated as net sellers of 3k beans to push the short back out to 132k, sellers of 7k beans to push the net short out 94k, and net sellers of 2k wheat to push the net short out to 21k.

Ukraine grain exports this marketing year are 10.05 mmt vs. 6.3 mmt a year ago.

Russia said their winter crop sowing “is in a very difficult situation” due to severe drought. They already have seen production drop sharply this year and the dryness is continuing to next year, at this point.

Corn posted a bearish reversal on Thursday with prices hitting recent highs and then finishing lower, directional indicators are still neutral. Support for Dec. is 4.00-4.04 and resistance 4.20-4.30.

Beans posted a bearish reversal on Thursday with prices hitting recent highs and then closing lower. The market is overbought after recent gains. Resistance is at 10.60 then 10.80, support is 10.40, and 10.30.

Corn pulled back on Thursday with the near-term outlook unchanged. Funds are expected to cover shorts on pull-backs, but harvest pressure is expected to limit the upside. Look for sideways trade in the coming weeks.

Beans hit new recent highs and hit channel resistance on Thursday and then reversed to close lower. Beans have had a large bounce from lows and the fundamental outlook is still very bearish. Producers should make sure sales are caught up and consider adding more downside protection on any other unpriced bushels.

Corn and beans mixed

‍