11/06/2023 Soybean Rally Continues, With Corn Tugging to Coattails

On the Grains: Beans are up double digits again in overnight trade thus far, with corn tagging along on its coattails. Wheat is the weak link, as Russian wheat is reportedly getting cheaper yet and this afternoon’s ratings for US winter wheat likely to show improvement. The weather outlook for Brazil continues to feed the bean bulls, with the outlook remaining too dry in the north and too wet in the south. Crude oil is up on the Sunday announcement by the Saudis and Russia that production cuts would remain in place through the end of the year. War tensions continue to mount on multiple fronts. Even Ukraine is back in the news after striking a Russian missile carrier docked in Crimea, raising more risk of Russian attacks on Ukrainian grain shipping. This morning we’ll get weekly export inspections which could set the tone for early trade. After markets close, we’ll get the weekly Crop Progress Report. I expect it to show soybean harvest all but complete and corn harvest down to the last 15% or so. That should keep basis firming. We’ll get a new set of winter wheat condition ratings. I expect them to be a little better…