Market Report: Corn and Beans Higher Friday

Corn closed out the week Friday on a positive note with gains of 6-7 cents a bushel. December closed above the 21- and 40-day moving average, but the 50-day moving average acted as overhead resistance and corn could not break through. The weather forecast for most of the Midwest continues to call for heavy rain. In addition to harvest delays there is increasing concern about disease and stalk quality issues. It appears farmers are doing some selling into rallies but are not selling on dips.

Beans were the leader to the upside Friday with gains of 14-15 cents a bushel. Traders have no doubt that the USDA is correct with its estimate of a national average yield of 50.6 bushels an acre. However, almost the entire Midwest has been getting heavy rains and more of the same is in the current forecast. I read that end users are having trouble accessing beans in the country because there are none left on the farm. According to the last USDA report we have a 195 million bushel bean carryover?