Highlights
Reuters Global Ag Reporter Karen Braun reported after the close yesterday:
"CBOT soybeans have tumbled 4% so far in 2024, soybeans' worst start to a year in exactly 40 years. Monday's low of $12.36/bu is the most-active contract's lowest since Dec. 2021. Beans are now in oversold territory per the relative strength index."
Do not mortgage the farm and buy soybean futures because Karen said the relative strength index (RSI) is in oversold territory. It has been in oversold territory for more than a week. The 9 day RSI was at 20.84 on the close yesterday. Anything less than 30 is grossly oversold. Note: RSI is a mathematical version of Bullish Consensus.
Tidbits
Willian Silvestre farms in Brazil. He wrote the following on January 6th:
"We are harvesting an early crop, but this is the reality of the region! Wake up guys, Brazilian harvest doesn't reach 125 mmt, and the guys who only do this talking about 145 mmt, I think I'm going to stop renting land and set up a company to talk about the market!"
AgRural reports:
Brazil’s soybeans are 0.6% harvested compared to 0.04% last year.
The first corn crop is 3.3% harvested as of late last week compared to 2.3% last year.