Corn was down; cotton, soybeans, and wheat were up for the week. In the past ten trading days, November soybean futures have traded between $9.97 ¾ and $10.60 per bushel – a 62 ¼ cent range! There is a great deal of uncertainty regarding the direction of soybean futures. A reasonable case can be made for a move above $11.00 or below $9.50. The bullish argument centers on reduced Argentinian supplies, lower U.S. planted acreage, strong world demand, and no implementation of the proposed Chinese tariffs on soybeans (or escalation of a China-U.S. trade war). The bearish argument points to the highest U.S.
ending stocks since the 2006/2007 marketing year, the proposed retaliatory Chinese tariffs on soybeans (or increased escalation of a China-U.S. trade war), increased U.S. plantings – due to higher prices, and a sixth consecutive record Brazilian soybean harvest.
Given the number of factors at play it is very likely that volatility in soybeans will continue.
Corn planting in Tennessee has commenced, however rain in the 5-7 day forecast could slow progress in the coming week. President Trump announced support for possibly moving to year round E15, which could be supportive for corn demand. December
corn futures continue to hold above $4.10 per bushel, markets will closely monitor planting progress and trade negotiations. Continue reading at Tennessee Market Highlights.