Market Report: Corn and Beans Firmer

Corn had a pretty good day, closing 2-3 cents higher after trading 5-7 cents lower early in the day. The bears are talking about harvest pressure and a lot of corn moving into the "pipeline." The bulls are talking about questionable yield results and that the corn crop could be much smaller than the USDA thinks. The Energy Information Administration released the weekly ethanol production report today. It showed 938,000 barrels of ethanol were produced each day last week, down 2.4 percent from the previous week.

Beans had a similar story, opening lower and closing about 2 cents higher. The USDA reported an export sale of 284,500 MT of beans were sold to China for the 2015-16 season. Traders are talking a lot about the Brazilian currency that has been going down a lot. This will make beans purchased from Brazil much cheaper than beans bought from the United States. On the opposite side it makes what Brazil must import more expensive. Remember Brazil must import a lot of fertilizer and pesticides to produce a crop. Maybe these two factors will cancel each other out,