10/22/2020

Overnight markets start lower with beans down 8-9 cents and corn down 3-4, but once again someone was there to buy the dip.  We had more sales announced this morning which consisted of 152,404 metric ton of beans to Mexico, 132,000 metric ton of beans to Unknown, and 130,000 of white wheat to South Korea.  Beans broke out higher today for a bit this morning and made new highs once again at 10.85 November futures before fading back at the close and finishing up a penny.  Corn also made a new high today at 4.19 December futures a penny away from the 4.20 target area.  As I mentioned yesterday this market is bulled up in all phases right now, but we need to be careful.  We are due for a correction at any time and the market felt a bit toppy today putting in new highs and barely hanging onto green figures at the close.  I am not saying we are not going higher in time, just saying we are due for a short-term correction.  Export sales this morning were very good for both corn and beans, which should not be a surprise to anyone.  South America is getting the rains they needed and more is in the forecast, but they remain behind pace on planting.  I am hearing PNW bean bids are now stretching out thru February.