Corn and soybeans end higher on Friday with fund short covering and soybeans reversing a lower start after the release of a record NOPA crush figure at 186.2 mb.
Chip Nellinger, Blue Reef Agri-Marketing, says he was encouraged that soybeans closed higher for the week. With May up 14 1/4 cents and November 17 higher.
He thinks the funds will continue to take profits off the table heading into USDA reports and end of month and quarter. “We are seeing some strong technical signals in the market as the futures move above some key moving averages and that may cause the funds to cover more of their short position especially heading into the uncertainty of the USDA reports and our planting season.”
However, Nellinger says South American weather, especially Brazil, will be important the next few weeks for soybeans and second crop corn.
Soybean oil was also up another 325 points this week and has helped support the soybeans.
Corn was slightly lower for the week as May corn lost 3 cents and December 1 1/4 cents. Nellinger says corn continues to be held back by wheat and if wheat could bottom it would allow the corn to stage a decent rally.
Wheat sank again Friday on technical selling and continues to digest cancellations of United States, Australia and French wheat. For the week May Chicago wheat lost over 9-cents, Kansas City fell 22-cents and Minneapolis 15 cents.
