AgDay Markets Now: Randy Martinson Explains Why Grains Couldn’t Extend Friday’s Rally

Grains end lower on Monday erasing most of the gains from Friday. Randy Martinson, Martinson Ag, says weather and farmer selling were the biggest factors.

Grains end lower on Monday erasing most of the gains from Friday.

Randy Martinson, Martinson Ag, says forecasts for rain in the corn belt weighed on grains.

He says there was also a pickup in farmer selling after the rally Friday, as farmers are selling ahead of planting season with the end of April approaching some will have to price or roll basis fixed contracts.

He says that selling pressure could be similar to what happened at the end of February when May corn hit a contract low.

According to Martinson grains were also removing war premium after Middle East conflict over the weekend failed to escalate to all-out war.

A higher dollar index was also negative for the grain markets on continued inflation fears.

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Joe Kooima with Kooima Kooima Varilek says its difficult to say because the fundamentals are still sluggish with the north seeing heavy weight cattle that have not been able to find a home.
Dave Chatterton with Strategic Farm Marketing says the markets needs a catalyst like South American weather or demand to find a bottom.
Scott Varilek with Kooima Kooima Varilek says the outside market news has been a factor in cattle but the main catalyst for the selling has been sharply lower cash trade which started breaking early in the week.
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