Corn saw a solid performance Tuesday, posting gains of 3-6 cents. New crop December posted the highest close since late in 2015. Corn also closed above the 200-day moving average. That has not happened since last August. Corn is being planted at a very rapid pace as the weather has been cooperating. Normally traders assume if planting conditions are good farmers will plant more corn, which would be bearish for prices. The market seems to be shrugging it off this year. Traders are still focusing on the dry weather in Brazil, which is having an impact on their second crop corn.

Beans saw a huge rally Tuesday, posting gains of 27-32 cents. Just three or four weeks ago, all you heard or read about was how bearish the fundamental outlook was. Our carryover would be 600 million or 700 million bushels. There was nowhere for prices to go except lower. I must say the extent of this rally sure surprised me, too. On Tuesday the dollar index was lower and crude oil was higher, which supported all the grains. Traders are still concerned about the heavy rains in Argentina slowing harvest and causing losses.

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