Markets: Boring!

Corn was lifeless again today as corn closed about a penny lower. It seems as if corn is waiting for news to make a move. Unfortunately I have no idea what news might be on the horizon to get corn to rally. We have the USDA Outlook Forum coming up, and that is always very bearish with their acre and yield projections. The market is convinced we have huge yields coming out of South America even though most of their second crop corn has not even been planted yet. The Perspective Plantings Report the end of March is a big report. Maybe that is our next opportunity for a bullish surprise? Traders are talking about more corn acres this year and I cannot understand that. Even with yields of 200 bushels an acre, $3.25 a bushel does not work for most farmers.

Beans were uneventful today, too, closing with losses of about a penny. Beans, like corn, had a very tight daily range of 4-5 cents. As each day passes, the chances of big crop losses in South America due to weather decrease. On the bright side, both corn and beans are still in a trading range that they have been in for months. However, we are at the lower end of the range. One thing going for prices is the Dollar Index, which has dropped to the lowest level since the middle of October.