New crop trying to put some risk premium back into prices

New crop contracts led the way on Monday as we start prospective plantings week. Both new crop contracts have recently put in new lows with November soybeans posting a 13-session losing streak before turning higher late last week. The average estimates are for 90.9 million corn acres and 88.3 million soybean acres which are mostly in line with USDA baseline numbers from February. There can always be a surprise in the offing, and we have heard about corn acres ranging from the high 80’s (Farm Futures) to 92.5 million acres (FBN) so don’t just sit back and watch if you have too much risk left on the table. It does seem that new crop contracts are trying to build some risk premium back into these prices. US weather is also supportive as more moisture is forecasted for the Midwest. We are early and we are not predicting Prevent Plant but early seeding especially for soybeans will not happen in any widespread way. China was back in for 136k tons of corn. For today, we will use 6.40 and 14.38 for support and 6.52 & 14.55 for resistance. NFC Grain Comments Options -3.28.23