Markets are trading mixed this morning with beans higher, wheat lower, and corn higher after dropping to new lows early in the night session, setting up a potential bullish reversal on the corn charts.

Managed funds to start the week were estimated as net sellers of 10k corn to push the net short to 144k, net sellers of 7k beans to reduce the net long to 16k, and net buyers of 2k wheat to reduce the net short to 95k.

Crop progress showed corn rated 69% g/e (69% expected), beans rated 67% g/e (68 expected), spring wheat rated 50% g/e (47 expected), and winter wheat rated 52% g/e (50 expected).

Soybean traders are closely watching for any developments from a potential meeting between Trump and Xi later this week.

The U.S. has reportedly sent Vietnam a long list of “tough” requests in tariff negotiations, including some demands that would force the country to cut reliance on China.

Corn posted a bearish outside down day to start the week with July hitting new lows in follow-through selling overnight before recovering to trade higher this morning. The market is oversold after recent losses with potential for a bullish reversal today if we can finish higher. Next support is near 4.30 with resistance at 4.40 then 4.60.

Beans posted a lower low, lower high, and lower close with the market breaking out of its recent range to the downside yesterday. Prices are recovering with previous support, near 10.40 expected to now be resistant. The market is oversold with support at 10.30 and resistance 10.40.

Corn dropped to new lows in early trade last night, but has reversed those losses to see small gains this morning. The move to the downside is overdone, funds have built up a large speculative long position, and we are in a time when we typically see seasonal strength. Today’s trade action will show some signs of bottoming if we can finish higher. Be patient with sales after recent losses.

Beans dropped out of their recent trading range to the downside on Monday with inter-market spreaders selling beans and buying wheat. The 10.40 area had been good support going back to early April with the market needing to get back above that level today to negate the breakout. Regardless of the technical outlook, we have record global bean supplies this year and are expected to have record levels again next year. Producers can look at option strategies to cover the downside risk.

Corn up 2-3

Beans up 3-6