In the grain complex, corn made a valiant comeback from the loss category to close higher. Wheat almost did the same, but finished just under a cent lower and beans mimicked the pattern, but finished down with March13 losing 8 ½ cents to 1409 ½. With old crop March13 corn priced at 6.98 ½ and new crop Dec13 at 599 ¾, we are at a pivotal point. The psychological marks of $7 and $6 are key support/resistance points. Right now, the influence of the outside markets, the “fiscal cliff” and the farm bill are likely to be the deciding factor of which direction we head on and what trends develop in 2013. It appears that trend is likely to be overtly BULLISH. In the last two trading sessions (since the Senate and House votes), the Dow has gained near 500 points, gold is up near $30/oz. crude supported well over $90 etc. We look for corn and beans and wheat to ride this macro buying spree and possibly see it develop into a technical buy trend.
This morning, we look for the grain complex to open higher.
Block cheese: $1.76 (up 2 cents)
Barrel cheese $1.71 (unchanged)
Grade A NFDM: $1.5575 (unchanged)
Butter: $1.4975 (unchanged)
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