Grains Report 12/18/2024

WHEAT
General Comments: The markets were a little lower in all three markets. USDA showed poor export demand in the weekly reports. World Wheat demand was strong with Saudi Arabia buying over 800,000 tons of optional origin Whet that s likely to come from Russia, Europe, and perhaps South America. Tensions remined high between Ukraine, the US, and Russia. The growing conditions in the US are very good. Reports of very beneficial rains for the Great Plains and Midwest and reports of steady to firm prices quoted in Russia and steady prices Argentina were around and helped keep the US market mostly steady in current ranges. Wheat farmers in the US planted the Winter crops under good conditions. Australia has seen too much rain recently that has downgraded Wheat quality, but Australia still has a very big crop to sell into world markets.
Overnight News:
Chart Analysis: Trends in Chicago are mixed to down. Support is at 543, 540, and 534 March, with resistance at 560, 571, and 577 March. Trends in Kansas City are mixed to down. Support is at 551, 544, and 535 March, with resistance at 577, 591, and 597 March. Trends in Minneapolis are mixed. Support is at 593, 586, and 585 March, and resistance is at 613, 625, and 634 March.

RICE:
General Comments: Rice closed near unchanged again yesterday after trading both sides of unchanged, and the holiday market seems to be underway. The trends are still mixed on the weekly charts but are turning down on the daily charts. Generally weak Asian prices are still reported. Brazil prices remain strong and well above US prices.
Overnight News:
Chart Analysis: Trends are mixed. Support is at 1486, 1481, and 1457 January and resistance is at 1538, 1544, and 1558 January.

CORN AND OATS
General Comments: Corn closed a little lower yesterday in mostly quiet trading. The US export demand was a little less last week in the weekly reports. The export demand in recent weeks has been very strong and it seems like some of the buying is in anticipation of the new presidential regime starting here in January. President Trump has promised new tariffs on goods and services and some buyers may be making purchases now to avoid the potential for the tariff at a later date. There were no sales announcements in the daily reports from USDA in the last week. Oats were a little lower.
Overnight News: Colombia bought 135,000 tons of US Cor
Chart Analysis: Trends in Corn are mixed to up. Support is at 436, 431, and 428 March, and resistance is at 448, 452, and 455 March. Trends in Oats are mixed to up. Support is at 350, 348, and 339 March, and resistance is at 370, 374, and 376 March.

SOYBEANS
General Comments: Soybeans and Soybean Oil closed lower and Soybean Meal was a little higher again yesterday on talk that President Trump wants to stop the use of bio fuels as part of his war on the green economy. The tariffs that Trump plans to impose could be a detriment to sales of all products. Brazil looks to produce much more than a year ago and some estimates range as high as 175 million tons for the country. Brazilian farmers have planted what is expected to be a very big crop in central and northern areas of the country. Warm and dry weather in the Midwest this year has hurt US production ideas due to ideas of small and very dry beans in the pods. Demand has been very strong so far this year, in part as many buyers try to get bought ahead of any new tariffs that the Trump administration might impose. Even so, supplies are very large and ending stocks projections for the USDA WASDE reports are a burden for prices.
Overnight News: Colombia bought 120,000 tons of US Soybean Meal.
Analysis: Trends in Soybeans are mixed to down. Support is at 968, 962, and 950 January, and resistance is at 989, 1003, and 1014 January. Trends in Soybean Meal are mixed. Support is at 284.00, 281.00, and 278.00 January, and resistance is at 294.00, 299.00, and 304.00 January. Trends in Soybean Oil are mixed. Support is at 3960, 3880, and 3780 January, with resistance at 4200, 4350, and 4450 January.

PALM OIL AND CANOLA
General Comments: Palm Oil was lower yesterday on continued Soybean Oil weakness. Demand from China has not been good, but demand from India has been seasonally strong. Ideas of weaker production caused by too much rain and reports of good demand provided support. Canola was lower with Chicago. The charts show that a low has been completed but that the rally off the lows has run out for now. The harvest is over in Canada and the crops are locked away in the bin. Producers will try to wait for higher prices before selling much, especially with the cold weather in place now.
Overnight News:
Chart Analysis: Trends in Canola are up. Support is at 585.00, 577.00, and 570.00 January, with resistance at 607.00, 618.00, and 626.00 January. Trends in Palm Oil are mixed to down. Support is at 4640, 4540, and 4470 March, with resistance at 4840, 4930, and 5020 March.

Midwest Weather Forecast Scattered rain and snow showers. Temperatures should average near normal.

DJ Malaysian PM Cash Market Prices for Palm Oil – Dec 18
The following are prices for Malaysian palm oil in the cash market at 1000 GMT Wednesday, supplied by commodity broker Matthes & Porton Bhd.
Prices are quoted in U.S. dollars a metric ton, except for crude palm oil and palm kernel oil, which are in ringgit a ton. Palm kernel oil prices are in ringgit a pikul, a Malaysian measurement equivalent to 60 kilograms.
Refined, bleached and deodorized palm oil, FOB, Malaysian ports
Offer Change Bid Change Traded
Jan 1157.50 -27.50 Unquoted – –
Feb/Mar 1127.50 -30.00 Unquoted – –
Apr/May/Jun 1042.50 -35.00 Unquoted – –
Jul/Aug/Sep 1002.50 -27.50 Unquoted – –
RBD palm olein, FOB, Malaysian ports
Offer Change Bid Change Traded
Jan 1162.50 -27.50 Unquoted – –
Feb/Mar 1132.50 -30.00 Unquoted – –
Apr/May/Jun 1047.50 -35.00 Unquoted – –
Jul/Aug/Sep 1007.50 -27.50 Unquoted – –
RBD palm stearin, FOB, Malaysian ports
Offer Change Bid Change Traded
Jan 1145.00 -32.50 Unquoted – –
Palm Fatty Acid Distillate, FOB Malaysian ports
Offer Change Bid Change Traded
Jan 982.50 -20.00 Unquoted – –
Crude palm oil, Delivered Basis, South Malaysia
Offer Change Bid Change Traded
Jan 4,950.00 -100.00 Unquoted – –
Palm kernel oil, Delivered Basis, South Malaysia
Offer Change Bid Change Traded
Jan 483.00 -07.00 Unquoted – –
($1=MYR4.468)

DJ China Dalian Grain Futures Closing Prices, Volume – Dec 18
Soybean No. 1
Turnover: 143,290 lots, or 5.41 billion yuan
Open High Low Close Prev. Settle Ch. Vol Open
Settle Interest
Jan-25 3,792 3,794 3,736 3,741 3,785 3,764 -21 79,416 94,006
Mar-25 3,799 3,806 3,754 3,759 3,799 3,776 -23 10,433 39,205
May-25 3,810 3,813 3,775 3,784 3,805 3,792 -13 50,055 137,162
Jul-25 3,834 3,840 3,803 3,809 3,832 3,819 -13 1,433 9,266
Sep-25 3,861 3,865 3,828 3,835 3,860 3,844 -16 1,901 16,274
Nov-25 3,877 3,879 3,848 3,848 3,875 3,868 -7 52 244
Corn
Turnover: 867,261 lots, or 18.63 billion yuan
Open High Low Close Prev. Settle Ch. Vol Open
Settle Interest
Jan-25 2,088 2,088 2,064 2,070 2,096 2,073 -23 174,389 308,430
Mar-25 2,114 2,115 2,093 2,100 2,119 2,102 -17 111,191 517,393
May-25 2,183 2,187 2,166 2,174 2,193 2,175 -18 523,114 903,467
Jul-25 2,224 2,224 2,202 2,209 2,226 2,210 -16 44,690 173,499
Sep-25 2,236 2,236 2,218 2,226 2,239 2,225 -14 10,627 47,230
Nov-25 2,216 2,218 2,206 2,211 2,223 2,211 -12 3,250 15,195
Soymeal
Turnover: 2,501,986 lots, or 66.06 billion yuan
Open High Low Close Prev. Settle Ch. Vol Open
Settle Interest
Jan-25 2,848 2,848 2,727 2,743 2,848 2,782 -66 339,110 231,793
Mar-25 2,761 2,763 2,714 2,719 2,770 2,735 -35 91,600 354,621
May-25 2,602 2,610 2,562 2,567 2,625 2,585 -40 1,706,657 2,763,005
Jul-25 2,616 2,617 2,571 2,575 2,632 2,590 -42 29,919 237,507
Aug-25 2,764 2,767 2,722 2,724 2,779 2,741 -38 13,516 142,589
Sep-25 2,776 2,777 2,730 2,733 2,787 2,751 -36 266,704 759,212
Nov-25 2,796 2,800 2,757 2,762 2,815 2,774 -41 45,813 202,068
Dec-25 2,867 2,875 2,856 2,868 2,878 2,866 -12 8,667 7,176
Palm Oil
Turnover: 1,478,491 lots, or 13.59 billion yuan
Open High Low Close Prev. Settle Ch. Vol Open
Settle Interest
Jan-25 9,950 10,000 9,854 9,880 9,946 9,924 -22 181,397 141,905
Feb-25 9,800 9,804 9,672 9,704 9,820 9,742 -78 21,350 22,793
Mar-25 9,628 9,628 9,438 9,460 9,652 9,526 -126 9,860 13,839
Apr-25 9,388 9,398 9,198 9,236 9,422 9,296 -126 842 1,199
May-25 9,194 9,200 8,966 9,004 9,206 9,084 -122 1,239,549 451,474
Jun-25 8,988 8,992 8,770 8,794 9,006 8,902 -104 119 594
Jul-25 8,808 8,818 8,588 8,620 8,836 8,704 -132 269 547
Aug-25 8,664 8,664 8,470 8,478 8,678 8,570 -108 26 156
Sep-25 8,528 8,538 8,322 8,354 8,538 8,422 -116 24,824 41,768
Oct-25 8,380 8,380 8,226 8,260 8,412 8,310 -102 110 442
Nov-25 8,324 8,324 8,152 8,180 8,326 8,232 -94 108 192
Dec-25 8,222 8,228 8,130 8,150 8,258 8,186 -72 37 41
Soybean Oil
Turnover: 886,269 lots, or 68.39 billion yuan
Open High Low Close Prev. Settle Ch. Vol Open
Settle Interest
Jan-25 7,966 7,986 7,666 7,678 7,996 7,810 -186 109,544 115,663
Mar-25 7,966 7,972 7,662 7,676 7,984 7,786 -198 7,773 21,855
May-25 7,872 7,882 7,570 7,590 7,886 7,706 -180 730,716 681,379
Jul-25 7,758 7,760 7,482 7,502 7,762 7,592 -170 2,406 6,561
Aug-25 7,784 7,784 7,526 7,538 7,790 7,648 -142 173 541
Sep-25 7,778 7,778 7,502 7,526 7,778 7,614 -164 34,706 101,139
Nov-25 7,750 7,750 7,536 7,566 7,770 7,576 -194 850 860
Dec-25 7,762 7,762 7,616 7,632 7,782 7,684 -98 101 111
Notes:
1) Unit is Chinese yuan a metric ton;
2) Ch. is day’s settlement minus previous settlement;
3) Volume and open interest are in lots;
4) One lot is equivalent to 10 metric tons.

Questions? Ask Jack Scoville today at 312-264-4322