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Daily US grain report: futures weaker, no benefit from upbeat US-China trade news

US grain futures prices were weaker overnight, with corn and soybeans down around 1 cent and wheat down 3 to 5 cents.

26 November 2019, at 1:10pm

US grain futures prices were weaker overnight, with corn and soybeans down around 1 cent and wheat down 3 to 5 cents.

Grain trader attitudes are still somewhat upbeat Tuesday, following reports that the top trade negotiators from the U.S. and China held a telephone conversation Monday, with the Chinese press reporting the two sides had “reached a consensus on properly resolving latest issues.”

Price downtrend in place and bears have firm advantage; bulls just working to stabilise market
Price downtrend in place and bears have firm advantage; bulls just working to stabilise market

© Jim Wyckoff

Still, export demand for U.S. grains remains tepid and is a bearish underlying element for the futures.

Monday’s weekly USDA crop progress report showed US corn harvest at 84 percent complete versus 85 percent expected and 76 percent complete last week. US soybean harvest was at 94 percent complete compared to 95 percent expected and 91 percent done last week.

Bears have firm overall near-term technical advantage as price downtrend in place
Bears have firm overall near-term technical advantage as price downtrend in place

© Jim Wyckoff

Weather in the US Corn Belt leans a bit bullish as storms, including snow, roll through the region this week, slowing harvest of what little crops are left in the fields. Trader focus is turning to South American corn and soybean weather in corn and soybean regions.

The near-term technical chart postures for corn and beans remains bearish amid price downtrends. However, the technical in wheat have improved just recently.