Markets are higher this am with corn up 8 and soybeans are up 7 to start the day. Additional rains fell across the US again overnight. Major weather models continue to show a moderation in this springs weather pattern over the next week to ten days. While rains won’t completely shut off, the drier weather will be welcome as it should be enough for more crops to get planted.
With this morning’s rally it looks as though the funds have exited their record short position in corn and should now be long. How long are the traders willing to be in this market is unknown. I believe with the exit of their short position we will see the daily volatility decrease and not have as many big daily rallies.
Have a Safe Day!