Grain > Commentary > 4-14-2021

4/14/2021

Apr 14, 2021

4/14/2021
Corn and beans both strongly higher as fresh buying interest surfaces in the corn trade, pulling beans up with it. Old and new crop corn spent most of the day continually setting new contract highs, with the May corn contract trading 2'2 cents away from the magical 600 level. Brazil enters its dry season; trouble may be brewing for the late planted Safrinha corn. A sizable portion of Brazil's second crop corn was planted outside of the ideal timeframe, missing the end of the rainy season which is vital to the crop. Soybean trade is expecting some friendly news in the March NOPA crush report tomorrow with analysts estimating 170.2 million bushels crushed in March. This would be the 6th largest month on record and a large jump up from the February numbers. There was also some chatter in the market today about a possible new crop bean export sale of decent size and we look forward to seeing confirmation on that. Weekly ethanol production was down 34,000 bpd and stocks also dropped 100k barrels to 20.5 million, margins were seen as 2 cents better this week. It is unfortunate that Mother Nature felt the need to remind us who is in charge as this spring had the makings to be one for the record books. The crop always gets planted.

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