Corn and Soybeans Range Bound
It was a very quiet week for corn but on the positive side at least we were not going lower. For the week December corn only lost a half cent a bushel. Corn did challenge over head resistance at the 40 and 50 day moving average but failed. At least support held too. The Commitment of Traders Report showed the funds adding 28,369 shorts. They are now net short 202,763 contracts. If we could just get a spark to get them to cover we could get a nice rally!
Beans were a little more active than corn last week. We did see 10 to 12 cent ranges but for the week November beans were only up 1-1/2 cents. The Commitment of Traders Report showed the funds decreased their long positions by 8,634 contracts. But they are still long 40,612 contracts. Beans continued to be supported by excellent domestic and export demand. Traders were talking about Northern Brazil getting some rain and more was in the forecast. Conditions are now “ideal” so that is bearish. Just like normal they did not admit that conditions were less than ideal before.