Markets Monday Wow

It was an unusual day Monday, with corn closing 5-6 cents lower while beans were sharply higher. It may be that beans are trying to buy some acres from corn or, the funds are very short corn and long beans. They may be defending those positions. Remember the April USDA Supply Demand Report will be released at 11 this morning. Traders expect U.S. carryover for corn to increase slightly to 1.849 billion bushels and world carryover to increase 3MMT to 308 MMT. Corn Export Loadings came in at 44.2 million bushels. That is a very good number but Corn Export Loadings are still 14 percent behind last year.

Beans had a great day Monday, posting gains of 10-11 cents. Very impressive given the big gains last week. November beans are pushing up against the highs set back in July 2015. I suspect it will take a weather event to push beans much higher. For the report this morning, traders expect bean carryout to be around 456 million bushels and world carryover at 79.4 MMT. Maybe a friendly USDA report could push November beans through overhead resistance?