It was another big move higher on Wednesday thanks to edible oils. New contracts highs were seen in palm oil, rapeseed and canola. Corn, wheat and the soy complex soared to new recent highs Wednesday. Bullish news regarding ethanol production and crude oil inventory, plus rumors of wheat business, set the stage for the bullish close. Minneapolis December wheat futures are on a path toward $10 and came close on Wednesday. U.S. and world corn and beans are the cheapest and wheat stocks are moving in a bullish direction. We saw an unexpected drop in crude oil inventory. The trade was looking for a 2-million-barrel gain, and inventory fell by 400,000 barrels. Ethanol production rose by 6.25% from last week. Lean hogs finished under pressure, but filled the chart gap on the December contract. Cattle futures traded a narrow range but finished mostly higher for the day.
Farm and Ranch Director Jesse Allen has our closing report: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406
Also, more analysis with Jesse Allen and Mike Zuzolo of Global Commodity Analytics on today’s episode of Market Talk: