Markets: Corn and Beans Rally Back

Corn managed to close slightly higher today which was a major victory given all the negative news from the outside markets. The Greece debt crisis, the China stock market melting down concerns about all United Airlines planes being grounded and the stock market shutting down. That is a lot of uncertainty for traders to digest. In the background I suspect traders were concerned about more rain on the radar for Missouri, Illinois, and Indiana. In addition there is more rain in the forecast. The Energy Information Report showed ethanol Production increased last week to 987,000 barrels per day which was an increase of 19,000 barrels per day from the previous week.

Beans posted gains of about 1 to 4 cents. That was quite a recovery. There was likely some thoughts about the big losses Tuesday were overdone. Private consultant Informa  Economics lowered their production estimate for U.S. bean production this year by 41 million bushel to 3.77 billion bushel. Remember Friday the USDA will release the July Supply Demand Report.