Corn watching weather, while old-crop soybeans remain tight

Grain & OIlseeds Report

Corn: In all, analysts are not expecting much of a change on the corn side of Thursday’s report. Yield will be expected to remain the same, as well as acreage. It is important to know that the USDA has never changed corn acreage on this July report. Any changes to acreage would be more likely on the August report with an even higher chance on the October report.

Bulls are looking for weather scares to justify bouncing this corn market past 510. Bears will actively sell bounces and as long as there are no major threats, will continue following the trend lower…Ryan Ettner
 
Soybeans: Crop ratings released after the close Monday showed that 67% of the crop is rated good to excellent. This is below the market estimate of 68%. The report also showed that 10% of beans are in the blooming stage.

Monday’s export inspections came in at 19,185 (1,000 bushels), which could be considered friendly. The tight situation in the old-crop beans should continue to provide support for the old-crop beans and bulls spreads, as it looks like we still have some rationing to do to make sure we literally do not run out of beans.

As for new-crop beans, Allendale has a long-term bearish view…Jim McCormick

Wheat:

  • The wheat complex finished Monday higher on big sale of SRW to China overnight, but the gains were limited as the wheat harvest continues.
  • Spring wheat conditions improved 4% from last week to 72%.  The winter wheat harvest is now 57% complete versus the 5-year average of 64%.
  • September Chicago wheat has found good support at current price levels, but it seems rallies will be short lived due to concerns of large world supply… Alex Bassett
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

Comments
comments powered by Disqus
Check out Futures Magazine - Polls on LockerDome on LockerDome