Soybean prices headed lower this week on news of big crops out of South America and a bearish crop report from USDA. It’s the lowest level prices have been in weeks, says Jerry Gulke, president of the Gulke Group in Chicago.
“Both corn and soybeans elected to close at the lowest level not seen in quite a while, with soybeans closing below the February lows and not very far from the January lows,” Gulke tells “Weekend Market Report host Pam Fretwell. That suggests there’s “not much hope for old-crop soybeans and likely the top is in.”
The only bright spot Gulke sees is the potential that corn acres will be cut back in the Planting Intentions report on March 31. That could “give corn a chance to hold, if not rally, through the end of the year,” he says.
U.S. weather remains the biggest unknown for the corn and soybean markets in the weeks ahead.
“It will certainly be a market force going forward,” Gulke says.