The climb continues this morning with corn up 12 in the old crop and 8 in the new crop. Soybeans are leading the way trading 30 higher.
Yesterday afternoons planting progress report showed U.S. Corn planted was 8% versus 4% a week ago, 6% last year, and 8% average. IL 12 vs 7, IA 4 vs 2, KY 26 vs 23. U.S. Corn emerged was 2% versus 1% last year, and 1% average. U.S. Soybeans planted was 3% versus 2% last year, and 2% average.
The 10 day outlook for South America is mostly the same as yesterday. Wet weather in the far West and dryness in Central and Eastern Brazil. Temps will be the same 80’s-90’s, which is about normal. The dry weather pattern is still in place and is going to further deteriorate second crop Brazilian corn. Brazil is going to allow for duty free imports of corn, soyoil and meal.
The December corn market is starting to get very overbought from a technical standpoint. We have two major gaps below the market as well. There will be some sort of correction coming in this market sometime, but for now it rolls on higher. Producers should make some new crop sales at current levels for fall delivery with prices in the $5 range.
Have a Safe Day!