Turnaround Tuesday as corn, beans and wheat open 3-10-3 respectively lower this morning. Soybeans were the catalyst for all commodities yesterday as traders continued to cover their short positions. Talk of quality issues, strong NOPA crush and reports of sales to China added fuel to the funds buying. Corn followed along with some technical short covering taking place. The fund are now long corn for the first time since June 12, 2018.
Corn harvest pace is ahead of the 5 year average at 39% complete for the country. Wisconsin harvest is 11% ahead of last year and 3% ahead of the five year average at 19% complete. With a favorable week of weather ahead of us this should increase dramatically by next week’s report. I would expect the markets trade lower with harvest hedge pressure in the coming week unless we see more speculative money enter the commodities.
Have a Safe Day!