Corn and soybeans moved higher yesterday, but closed off of the highs. With weather continuing to look favorable with moisture in the Delta and drier in the corn belt in the coming week. Despite some of the weather challenges we are seeing in WI, this year’s corn planting progress is at 81% complete for the US and 56% for Wisconsin. The five year average is 81% for the US and 66% for WI.
President Trump reiterated yesterday afternoon that the US and China have yet to reach a deal on trade, adding that he is “not pleased” with how the talks are progressing. While the talks with China were “a start”, Trump said he’s not yet satisfied. This news was a setback for the stock market and the commodity markets after it appeared that things were progressing following Sunday’s comments from the US Treasury Secretary. The good news is that there are no meetings planned for a couple of weeks between the two countries which may allow traders to focus on fundamentals thru the end of the month.
I look for the markets to back off slightly heading into the weekend with a three day break coming up. Long term I still believe we have another 15-20 cents to the upside in corn between now and the end of June.
Producers should be taking advantage of these rainy days to talk to their buyers about putting in firm offers on any old crop corn sales they have left to make. You should also be getting sales on the books and putting in firm offers for new crop corn. With levels over $4, producers should have 25% of your 2018 production and 10% of your 2019 crop sold.
Have a Safe Day!