Corn and Beans Turn Around Late Last Week

Corn struggled early last week barely holding in the range and key support before rallying sharply late Friday. Corn closed upm6 to 7 cents Friday and for the week corn gained about 6 cents. There was talk from the trade delegation in China that maybe there was some type of resolution to the trade war talk and that was supportive. However, more important was the long range weather forecasts calling for warmer and fryer weather in the 30 and 60 day forecast.

Beans struggled too last week and continued the near term downtrend. There was a cancelation of old crop bean sales of almost 40 million bushel that was announced Friday morning along with a new crop bean sale. Even with that bearish news beans still managed to close 3 to 4 cents higher Friday. You would think that a big cancelation like that would have had beans down hard. It seemed like something else was supporting beans.

Then over the weekend I heard on the National News that China announced there would be no more tariff announcements for the time being. In addition the tariffs announced on sorghum would be refunded. In the overnight session beans were 16 to 17 cents higher!