Market Report: No Recovery Today

For a while today corn and soybeans followed the same pattern as Tuesday, opening lower at 8:30 and adding to the losses by late morning. By the close Tuesday, corn was up a bit and beans closed about unchanged. So, when I was talking with Gordy at 11:15 today it felt like we might recover losses again. Well, not so much.

Corn did close off the lows, but still down one. Beans closed with losses of 15-19 cents. The dollar index was higher and actually closed at its highest point in 10 years. Remember, a higher value of the dollar makes our exports more costly to foreign buyers. Corn traders were also concerned about a decrease in ethanol production last week by 16,000 barrels per day.

A lot of negative talk really overwhelmed beans. Traders are concerned about more acres in the United States this year, the truckers' strike in Brazil being over (even though it isn't) and how major bean buyers like China will begin sourcing beans out of South America with their harvest rolling along. We certainly need some sort of spark to turn this bearish attitude around.