Market Report: Prereport Day Corn and Beans Higher

Corn futures closed 3-4 cents a bushel higher today. Gordy said this morning at 11:15 that there probably was some short covering and position squaring ahead of tomorrow's USDA Stocks and Planting Intentions Report. This morning the USDA reported a sale of 131,172 MT of corn sold to a unknown destination. Many times "unknown" ends up meaning sold to China. In the Export Inspections Report, the USDA showed 762,276 MT actually loaded and left the United States. Also supportive today was drought index maps that showed dry conditions expanding in the Western Corn Belt.

Soybeans closed with small gains today. Weekly Export Inspections were over 24 million bushels. Total beans that left the United States are now at the USDA's projection for the entire marketing year! Plus we are 153 million bushels above last year at this time. Tuesday is an important day as we get the stocks and planting intentions at 11 a.m. This report many times is a market mover. The general perception of traders is in the end corn might be friendly and beans negative. It that is the case, will corn pull beans higher or will beans pull corn lower? My guess is beans will pull corn lower.