Last Week’s Close: May corn futures were 3 ½ cents lower on the week, this after trading in a range of 7 ½ cents. Friday’s Commitment of Traders report showed that funds bought 31,540 futures contracts, this extends their net long position to 169,785 futures. Keep in mind that this data is compiled from April 3rd-April 10th.
Fundamentals: Corn prices opened the Sunday night session under pressure despite snow moving through parts of the corn belt and the possibility for more throughout the week. This wintery weather in April has some producers sitting on their hands at a time where they would typically be getting some field work done. There will be delays in getting out of the blocks, but the market seems to have much of that priced in at the moment. Planting progress will be released after the close today, that is expected to come in at 5% complete.
Last Week’s Close: May soybean futures traded 17 ¾ cents higher last week, this after trading in a range of 29 ¾ cents. Friday’s Commitment of Traders report showed that funds were net sellers of 2,890 futures, this puts their net long position right at 169,539 (identical to corn). Keep I mind that this data is compiled from April 3rd- April 10th.
Fundamentals: If we start to see delays in corn planting extend, we could start to see some acres shift from corn to beans. It is still too early to suggest that is a probability, but it is certainly a possibility at this point in time and should be noted. Harvest in Brazil is starting to pick up, they are estimated to be 25% complete. We have the NOPA crush report this morning; expectations are for 164.15-176.20 million bushels, with the average estimate being 168.247 million bushels. We will continue to keep a close eye on the soybean meal market, as it could be a catalyst in price action.
Last Week’s Close: May wheat futures traded 2 cents lower last week, this after trading in a range of 24 ½ cents. Friday’s Commitment of Traders report showed that funds were buyers of 27,102 futures contracts. This shrinks their net short position down to 44,861 futures. Keep in mind that this data is compiled from April 3rd- April 10th.
Fundamentals: Winter weather over the weekend was not enough to offset the prospect for better weather conditions this week. Rains are working their way into the forecast for areas that need it badly, this has put pressure on futures to start the week. If they do materialize it is possible that we see extended pressure throughout the week. We will continue to keep a close eye on the KC wheat contract as it will likely continue to be the leader.
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