Tough Week For Corn Beans Higher
It was a difficult week for corn as corn lost around 22 cents a bushel. On Thursday there were more rumors that China bought from the United States. It was confirmed Friday China bought 750,000 metric ton. This was what we have been waiting for. However, the crash in crude oil and ethanol prices overwhelmed the corn market. With the drop in world demand for crude oil because people are driving a lot less the bears have a good reason to question corn demand.
Beans turned around about mid-week and began moving higher. By the close Friday beans had gained about 14 cents on the week. Because of COVID-19 there were concerns about shipping soybean meal out of Argentina and beans out of South America. Also supportive to bean prices is dry weather in South America. Argentina has downgraded their bean crop and it is dry in Southern Brazil too.