Tough Week For Corn and Beans
Corn ended the week on a sour note with losses of around 5 cents a bushel. That was a big disappointment after the friendly USDA Supply Demand Report Thursday! Traders said the crop problems in South America were "old news" and in the market. How can it be in the market, when the U.S. new crop corn carryover of 1.6 billion bushels and world carryover were much lower than the average trade guess going into the USDA report Thursday?
Beans were the big loser after the USDA report Thursday posting losses of around 18 cents a bushel to close out the week. Friday's close was under the 100 day moving average and that was the first time we have seen that since early February. Bean traders are talking about the corn planning delays in the northern Midwest and that could lead to even more bean acres. That is certainly a possibility, but then why would that not be friendly for corn prices? I guess that is just what farmers have to learn to contend with, the news is always spun bearish.