[Listen] Gordy Ag Market Recap Much Better Than Last Week
It was nice to see soybeans and especially corn find support this week after the huge sell off the previous week. The grains found support at the 50 percent retracement level and rallied back to close out the week well off the lows. It was a little disappointing that corn sold off a bit right near the close Friday afternoon to finish out the day's trading down 8 cents a bushel.
Maybe the grains needed a week to "decompress" after the big selloff. As Gordy likes to say the real world is out there and nothing has changed. The second crop of corn in Brazil is being hurt by hot dry weather after being planted much later than normal. There are some private analysts in Brazil projecting losses of 400 million bushel of corn. Then the weather in the U.S. has been less than ideal even though both the corn and beans got planted in a timely way.
It was very supportive this last week when the USDA announced daily corn sales to China just about every day. In the last couple weeks China has bought around 400 million bushels of new crop corn! Listen to Gordy talk about the ag markets last week.