Grain markets weather driven but selling pressure builds

Price rise too far, too fast?

Cornfield, corn Cornfield, corn

Corn: For the rest of the week we look for trade to be highly focused on weather as usual. Trade’s highest focus will remain areas south and west but any heavy rainfall anywhere can spur bean selling, which corn would follow. Talk on the trade floor was for national yields around the 129 level now…Ryan Ettner
       
Soybeans: The trade was expecting a larger drop than this for ratings so this could be setting up for some additional pressure overnight. If we do get good rains and continue to see a change in the forecast toward a more zonal flow we could see additional pressure on the beans…Cordon Sroka
 
Wheat: The annual spring wheat crop tour is this week. The trade will be watching this to see what yields the tour finds. Until the trade is convinced that this grain crop has stabilized, the market should find support on breaks as the weather is the dominating factor affecting current market direction…Jim McCormick

About the Author

Ryan Ettner is a registered commodities broker and grains analyst at Allendale, Inc. Steve Georgy is a Sr. Broker/Manager at Allendale, Inc. Jim McCormick is Senior Broker/Manager at Allendale, Inc. Allendale is registered with the CFTC and NFA and is a member of the NIBA. www.allendale-inc.com

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