11/15/2024 Check Engine Lights Are On

On the Grains
Yesterday wasn’t a good day in any market and beans were no exception. CONAB started the day off with its Brazilian projections at 166.1 MMT, while the USDA is at 169.0 MMT. Where have we heard this discrepancy storyline before? All last year. Technical selling dominated the trade as we took out the 20 DMA and the psychological support of $10.00 on the January beans. While we know that the bean crop will be large, if there is hope, it’s for the Safrinha corn production. USDA has this year’s corn pegged at 127.0 MT (up 5 MMT from last year) however, CONAB’s early estimates are for 119.8 MMT, a wide gap to close yet.