Will protests in China push beans lower?
Over Thanksgiving week, corn and soybeans both finished sligtly higher but started this week lower last night with both off around 4 to 5 cents. Over the weekend, China has seen widespread protests by citizens that are tired of the Zero Covid policy. This is weighing on commodity markets this morning, but Crude Oil is taking the most heat while corn and soybeans are only off slightly. The markets are riding the fence waiting to see what the CCP’s longer term reponse to these protests. Will they try to actively discourage the protests or ease their Covid policies and open the country which will raise consumption. Argentina will be doing another round of the Soy Dollar, giving farmers a better exchange rate to push sales and get USD for the government to satisfy their IMF requirements. This could have bearing effects on the soybean markets as last time this flooded the export market with soybeans. For today, we will watch the overnight lows of 6.64 in March corn and 14.24 in January soybeans and 6.73 & 14.55 for resistance. NFC Grain Comments Options -11.28.22