MarketsFarm — Soybean and corn futures at the Chicago Board of Trade backed away from nearby highs over the past week, but could be poised to retest those levels as the underlying fundamentals remain supportive.

“I think we’ll need another headline of sorts, whether it be a weather or sales numbers (headline), to push corn up a few more cents,” said John Weyer, director of commercial hedging with Walsh Trading in Chicago.

He added that “beans continue to run with the South American weather story.” As long as dryness issues continue to slow soybean planting there, he expected Chicago futures would remain supportive.

November soybeans hit an intersession high of $10.7975 per bushel on Friday (Oct. 9), but has not closed above $10.655 (all figures US$). December corn hit a session high of $3.9925 per bushel on Monday.

“I think we’ll take another run at those highs,” Weyer said; a close above $10.48 per bushel would be supportive in soybeans, he added, with the next upside target in the $10.70 per bushel area.

For corn, nearby resistance in the December contract is seen in the $3.95-$4 per bushel area.

Wheat is “doing its own thing,” according to Weyer, but could push above $6 per bushel in the December Chicago contract “if we get anything supportive there.”

The wheat market was trading mostly off of world supply/demand news, he said, with weather in the Black Sea region one factor to watch.

— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.