Grains mixed to start the holiday shortened week. Monday, December 20, 2021

Grains closed mixed to end Monday’s session kicking off the holiday-shortened week as corn finished lower and soybeans pushed higher.

At the close, March corn futures are 2¼¢ lower at $5.91, May corn finished 2¼¢ lower at $5.92, and July corn futures finished 3¢ lower at $5.89¾. After Friday’s rally, it does appear the corn market is taking a breather today; posting rallies to the highest price level since early July on Friday.

Soybeans appeared eager to trade news of South American weather troubles as the January contract finished 7¢ higher at $12.92¼, March soybean futures added 6¼¢ at $12.94¾, and May soybean futures closed 6¼¢ higher to end the day at $12.99¾.

March wheat futures recovered from their early day loss to finish 2¾¢ higher finishing Monday at $7.77¾.

January soymeal futures finished $6.70 per short ton higher at $386.20.

January soy oil futures closed lower ending the day at 52.94¢ per pound.

Check commodity prices: Corn | Soybeans | Wheat | Live Cattle | Lean Hogs | Cotton

In the outside markets, crude oil finished lower again after Friday’s losses, losing $2.18 per barrel to end the day at $68.68, the U.S. dollar finished lower, and the Dow Jones Industrials lost 543 points (-1.54%) at 34,822.12.

Al Kluis, of Kluis Commodity Advisors, shared in his morning newsletter to customers that although the continuing hot and dry weather in southern Brazil, Argentina, and Paraguay should be bullish, other economic factors are of increasing concern to the markets.

“The rapidly spreading COVID virus is increasing fear of a global economic slowdown. That has the grain markets lower to start the week,” says Kluis.

PJ Quaid, R.J. O’Brien broker, says that South American weather is certainly a little bullish, and Omicron is of some impact to today’s trade, but one other variable has his eye.

“I think the sell-off has more to do with Manchin shutting the door on the Biden administration’s BBB plan, rather than the omicron variant. I think inflation plays that were put on popping for the passage and adding to debt have been taken off. Looking at the outside markets, I think grains are hanging in there extremely well,” shares Quaid.

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Tags: soybean futures, corn futures, Grains, wheat futures, soymeal futures, soy oil futures