Market Report: Corn and Beans Sharply Lower Monday

Friday corn closed at the highest price of the year but corn got hit hard Monday, posting losses of 10-16 cents. Over the weekend the forecast called for increased chances of rain early this week and that appeared to be what traders focused on. The longer range forecast is still hot and dry so we will see if that can get traders' attention again. The dollar was sharply lower but that did not matter to traders Monday. It sounds like the UK will not leave the European Union so that is why the dollar index was lower. Traders were thinking if they leave the Union the dollar index will rise. Citizens of the UK will be voting on leaving the European Union on Friday.

It was a similar story in beans Monday as they were down 15-16 cents. From a technical point of view, beans stayed in Friday's range so the losses did not have an impact on the charts. Export inspections were very solid for this time of year at 11.6 million bushels. On the positive side, beans did close well of their lows of the day. It did seem like beans were a follower of corn Monday after being the leader on the rally since early last spring.