Markets are currently trading lower with corn down 10 cents and soybeans down 5 cents. Many traders are still left scratching their heads from the report that was released this past Friday. Following the release, there was such a backlash against some of the data that the USDA said they are going to redo the survey in July and, if need be, they will give us an updated intended acres planted on August 12th’s report. The biggest skepticism came from the corn acreage number that came in at 91.7 million acres planted. This was 5 million acres above the average of many analysts’ estimates. This sent trade in a whirlwind and on Friday corn closed 20 cents lower than the previous day of trade. As the new week begins, trade will continue to search for an answer to where the acreage number is at and what yield will turn out to be. The weather across much of the Corn Belt looks favorable in the next 6-10 days. In our area, slight to moderate chances of showers are expected throughout the week with warmer temperatures remaining. In the 11-15 day time frame, warmer temps will be giving way to a cooler pattern going forward. Overall, I believe trade will be volatile in the few weeks to come due to questionable data. I believe it will be hard for corn prices to make another jump above the highs we saw this last month. It is going to take something drastic to move corn prices with such a large acreage number looming in the mind of many traders and some favorable weather in the forecast. I would recommend calling in today to discuss the best marketing opportunities for your operation.
Have a great day!