The corn and soybean market were both higher last night. July corn futures are hovering right around the 100-day moving average of 4.76 and Dec corn futures are hovering right around the 100-day moving average of 4.77. What does it all mean?? Maybe not much, but here are a couple simple ways to look at that – you could say there is great support there and that could be a short term bottom in corn, or… you could say that if we drop sharply below those levels, corn could be due for another break lower, potentially back to the price levels we had in Jan/Feb (approx. 30c lower than today).
Overall though? Weather will likely determine price as we roll into June. You probably already saw that the planting progress numbers peg us near the 5-year average for the U.S. in both corn and bean planting (if you didn’t see those, there is a table below) which is neutral/bearish. It won’t be long and the Monday afternoon reports from the USDA will switch from “percent planted” to “percent rated good-to-excellent”. I threw a couple weather maps at the bottom of these comments, generally showing good planting weather in the 5-day (QPF) and above normal temps and precip after that.
Opening Calls
Corn 1 to 3 cents higher
Soybeans 4 to 6 cents higher
Have a great day!
Dustin Weiner
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