Friday offered a surprising report for corn seeing that funds had covered 89K shorts in just one week. While that still leaves funds short 131K it was quite a bit more active than expected. A knee-jerk reaction to that news is to lose some support as other speculators ease up on buying ahead of the funds. It's a simple idea that buying ahead of the funds when they are record short can offer a large potential for fund help to your buy order.
After what is now 4 days of little or no fund trading we are quickly seeing corn go back to what would be considered normal summer trade. That means this market will quickly react to weather map updates every day which is exactly what was seen today.
World wheat production still sits at record levels and stocks remain at their highest number ever. Our price outlooks do look for a rebound of July wheat to test the five dollar level at some point in the spring but right now we do not have the fundamental or technical indication the market will reach to higher levels.