Markets are a bit higher this Friday morning with corn currently up 6 cents and soybeans up 5 cents. Yesterday’s report really didn’t cause much excitement in trade and really only mattered for a short period of time. The report was traded on for what seemed like 30 minutes and the big highlights were the largest old crop corn carryout we have seen in 30 years along with numbers showing tightening global wheat supplies. Traders quickly moved on from the report and shifted their attention back to the weather. With a hotter and drier extended forecast, markets were steadily bought and making session highs by the close. Moving forward, I believe the markets will continue to focus their attention on the warm and dry weather expected for much of the Corn Belt. Patience seems to be running a bit thin regarding the uncertainty of this new crop and any threat to yield is going to keep the markets focus despite the large amount of old crop stocks that are being kept in storage. As long as the weather looks threatening, market prices will be well supported. With the markets being up, it gives producers a great opportunity to sell their crop at profitable levels. If you are sitting on old crop corn I would consider selling some amount in the days to come because some unexpected weather could cause a sharp response in prices.
Have a great day!