Generally it was a good day in the grain markets, as they did not give back Thursday's big gains. Since harvest I can remember at least three times we had a one-day rally but could not follow through. Corn was 4-5 cents higher this morning, but closed up only a fraction. At least we did not go lower. Marv mentioned in the noon report that the funds were likely covering some of their short positions before the end of the year. Maybe we can continue to rally until the end of the year? I wish I know because I suspect a lot of farmers are like me with a fair amount of unpriced corn and beans in the bin.

Beans however did manage to close up double digits for the second day in a row. It has been a long time since that has happened. Gordy has talked on the air for a month and a half about how dry it is in northern Brazil and too wet in the south. Nothing has changed in the forecast but all at once Thursday that is what traders were talking about. I think Marv was right that the funds were covering their short positions. Gordy has mentioned that they need an excuse for the market action and they cannot just say it was money flow!

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