Corn and Beans Higher Last Week

It was a pretty good week for corn last week as corn gained 4 cents a bushel. It was the second week in a row corn was higher. In addition March corn closed above the 50 day moving average. Export sales on Friday were announced at 57 million bushel There was not a lot of new news but yet corn was able to "grind" higher. Even though traders are not talking about it, less than ideal weather in South America has to be supportive. Hanging over the corn market is the 2.5 billion bushel carryover in the United States.

Beans too managed to close higher for the week so the weekly charts look encouraging. However, the daily charts look a little negative with a reversal as beans closed 4 to 6 cents lower Friday. The forecast for the next 10 days in Argentina was for warm and dry conditions. Apparently traders did not want to go home long Friday in a weather market and that was the reason beans sold off late in the day. With beans up 10 to 12 cents a bushel this morning it likely did not rain!