Futures were down sharply in overnight trade. Corn had been down 8 cents and beans down 14 off of comment that came from US Presidential Aide Peter Navarro. Fox news reported that he said the US Phase One deal was over. President Trump was quick to take to twitter, saying that the trade deal was fully intact, stabilizing stocks and crude oil.
Corn and beans have not recovered the full extent of the losses, and I would blame rain on the radar as the reason. Corn is currently down 4-6 while soybeans are down 1-3.
China is really going to need to pick up the pace of buying if they expect to get to the 36.5 billion dollars in purchases. Time is running out and it is going to get harder for us to make sales the longer this goes. I believe the window for bean purchases will come in late July to early August, but feel that corn may not come at all. China is now having exporters sign paperwork guaranteeing that the soybeans shipped do not contain the Corona Virus which is making many exporters balk at sales.
The window for any weather premium in the market is quickly closing with no major issues to date and forecasts looking very good. Producers should finish selling old crop and get more new crop sales on the books for grain you need to move at harvest.
Have a Safe Day!