Friday afternoon after the grain markets closed the CFTC released the Commitment of Traders Report. The report is as of last Tuesday April 2, 2019 and is shows the number of positions or contracts that the 'managed money" or what is typically called the funds hold in corn, soybeans and wheat.

As of last Tuesday the funds were short or had sold and held 256,000 corn contracts and 74,000 bean contracts. The funds on paper had sold more than one billion bushels of corn. The funds may not be holding a record short position but it is close. They must feel very confident in their bearish position because on Tuesday at 11:00 am the USDA will release the April Supply Demand Report.

Wouldn't it be nice if we had a bullish report from the USDA on Tuesday and see the funds try and cover or buy back all those positions at the same time? That however is very unlikely because the USDA found more corn in the Grain Stocks Report the end of March. That likely explains why the funds are comfortable going into the report Tuesday nearly record short!