4/20/2022

Strong money flow in on the front months for corn and soybeans. Big gains on the front end trickled down to the deferred months. After shrugging off some early morning weakness, May and July corn finished 10-11 higher on the day with modest gains on September 2022 and further out. Soybeans saw some large double-digit gains in the 12-30 cent range on the old crop months and 7-9 cent gains for the new crop window and further out. Any new information is pretty limited right now which makes today's odd price action even more peculiar. The bull needs to be fed every day and now trade wants to talk about possible Brazil dryness (again) through May and June but that's traditionally a dry period down there. The lack of discussion about their safrinha corn crop should be paid attention to, usually means there are no issues. Weekly ethanol numbers showed production down 48,000 barrels/day to 947,000 bpd, stocks were also down by 461,000 barrels to 24.34 mln bbls. After yesterday's small sale announcement, the USDA wire was quiet at 8:00 a.m. this morning. Weather forecasts continue to improve and I wouldn't be surprised to see planters rolling in the southern reaches of the state and some pressure put on corn beginning of next week.

December 2023 corn finished the day unchanged after 21 consecutive higher closes, rallying around $1.00/bu over the past month.