Market Report: Corn and Beans Active Friday

After an active day, corn closed about 2-4 cents higher Friday. New crop December reached a high of $4.20, which was the highest level since last July. Weak economic data in the jobs report had the dollar index sharply lower and that supported all the grains. Not only did corn close about on the highs of the day but on the charts it posted a bullish key reversal. Looking at the corn chart, it seems to be repeating the bean chart when beans began their rally back in late March and April.

Beans had a pretty good day Friday even though July closed about 12 cents lower. Bull spreading with July sharply higher Thursday was reversed Friday when July was lower. July beans still gained 45 cents on the week. New crop November gained about 3 cents and posted the highest close of the year. Bean meal was the leader again Friday, supporting the entire bean complex. Bean meal has gained 65 percent since the recent low! That is one huge rally! The USDA June Supply Demand Report will be released Friday morning and it is going to be interesting what the USDA does with South American production and carryovers here in the United States.