StoneX cuts Brazil estimates but still record

2023 started with corn and soybeans taking a step back from December’s strength. We saw some rain in Argentina, higher USD and lower energy prices put pressure on corn and soybeans early in yesterday’s session. Corn ended down 8 and soybeans lost 32 cents in the lead contracts. Overnight, corn dropped another 3.5 cents while soybeans bounced back 7.25 cents. StoneX dropped its Brazil production estimates in beans from 155.1 to 153.8 MMT and corn to 128.7 from 130.3 MMT likely due to the stress in Rio Grande do Sul which is the farthest southern province. Even with this drop Brazil will still have record production and will more than make up for Argy losses. We will see if this little overnight bounce in Soybeans and meal will extend higher on drier Argentina forecast or will the bounce find more sellers. We are guessing it will find sellers. We will look to hedge more new crop at 14.05 in November beans and 6.05 in December corn. For today, we will watch 6.62 & 14.90 for support and 6.85 & 15.35 as resistance. NFC Grain Comments Options -1.4.23