Fed rate hike puts the brakes on commodity prices

Russian resumed participation in the grain corridor early yesterday morning which dropped wheat 56 cents and corn 10 cents. Soybeans were able to stay positive adding 6 cents. The Fed raised rates 75 basis points yesterday as expected and initially the market but at his press conference Chairman Powell said it is pre-mature to think about pausing rate hikes & we have a ways to go. This caused a negative trade for commodities overnight while the USD rebounded up 1.50 and back near 113.00 level. StoneX came out with updated production and raised their corn production estimate to 174.5 up 0.6 and lowered bean yield to 50.9 down 0.4. They are both well above the current USDA numbers that will be updated next week. Export sales were softer than expected, especially for soybean. Look for some selling pressure out of the gate as we look for support at 6.77 & 14.19 with resistance at 7.00 & 14.55. NFC Grain Comments Options -11.3.22