Limited news in the marketplace this morning is not giving traders any direction. The markets started off slow this morning with corn up 2 and soybeans up 10. They have since gained some momentum and are up 6 and 15 respectively. I would expect a lot more of this over the next couple weeks as we see traders position themselves for year end and the January 12th report. South American weather and the January 12 report are the only true market movers at the time.
Yesterday’s weakness was due to good rains in Southern Brazil and Argentina over the weekend. The forecast for the next couple weeks is warmer and drier for those areas which should be very beneficial following the rains and planting progress.
I would advise growers to be putting in firm offers and locking in profits for your 2021 and 2022 crop. The better the weather in South America and the closer we get to their crop coming off (March) the harder it is going to be to rally this market. Producers can lock in $5.20-$5.25 levels for next fall delivery and it should be done.
Have a Safe Day!