Afternoon Comments 3/12/2013
Tuesday, March 12, 2013, 12:40 pmSubmitted by: Kyle Lehman
Commodities are mixed at midday with corn futures trading 6 cents higher to levels we haven’t seen in over a month while soybeans trade 5 ½ cents lower. The rally for corn continues for the 4th straight day on concern over tight domestic supply. Technical charts show corn in an uptrend with the next resistance at the 100 day moving average of $7.225. Corn planters in the south have been rolling the past couple of weeks and estimates show Texas 29% complete (same as last year) while Louisiana is estimated at 20% (6% last year).
Soybeans are lacking bullish news to continue a rally as logistics in South America have somewhat quieted. Port workers have set a deadline for March 19th for negotiations of working conditions and wages to progress before they start to strike. Outside of South American logistics bullish news (any news to be specific) for soybeans is hard to find.
Precipitation for the Midwest over the past 30 days has been double of normal which probably still isn’t enough to fully replenish soil conditions but is a good start to recovery (left map). The 5 day forecast (right map) shows small amounts of rain for the eastern corn belt while the rains seem to avoid the Delta and western Texas. 
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