Our corn and soybean markets are both weaker this morning with corn giving back the gains we saw yesterday. With nothing new to really spark a rally or cause another sell-off, our corn market seems content treading water at these levels. The technical traders (AKA: chart watchers) would need to see about a 15-20c pop in July corn to get above some key moving averages to turn this market bullish again. Other than that, we feel destined to be stuck in a trading range, waiting for fresh fundamental news to provide direction.
As I type this, July corn is 14c higher on the week this week while July soybeans are 70c lower over the same time period! What’s wrong with beans, you ask? Well for starters, when you look at the previous week, soybeans were only down 3c while corn was 88c lower! I’m sorry for bringing that up, I know many of you are trying to forget it, but soybean futures could simply be playing a little catch-up. Also, I think the difference in price action this week could just be coming from export sales announcements – China has been in buying U.S. corn seemingly every day this week. Beans? Not so much. At least not this week.
Corn is 4 to 7 cents lower
Soybeans are 12 to 17 cents lower