Grains Soar to Multi-Year Highs Amid Strong Market Demand
Corn and soybean futures are trading at multi-year highs due to strong market demand. The USDA's export sales report, released on Thursday, showed U.S. corn sales of 800,000 to 1.6 million MT in all marketing years.
The corn market is expected to remain bullish in the near term, with technical analysis indicating a steep uptrend in prices. However, bears may see an opportunity to sell at contract resistance above $5.50.
Hedgers are advised to initiate sales on 10% of expected 2027 production at $5.33 or better basis December futures, while cash-only marketers should be 100% priced in the cash market on 2025-crop and have 70% of expected 2026-crop production sold for harvest delivery.
Soybean and meal futures saw a burst of technical buying due to sharp gains in corn and wheat prices. The next near-term upside technical objective for soybean bulls is closing November prices above solid resistance at $13.00, while bears may see an opportunity to sell at contract support below $12.00.
Hedgers are advised to initiate sales on 10% of expected 2027 production at $12.25 or better basis November futures.