6/18/2021

We go into the weekend strong, recovering a majority of yesterday's losses in both corn and soybeans.  China was active overnight, taking the opportunity in yesterday's price break to purchase new crop soybean cargoes on the PNW market.  This helped move herd money back into buying mode along with updated weather models zapping some moisture out of the forecast over the next 7-10 days.  Disappointing rain totals overnight in IA and MN also fueled the buying frenzy.  With this kind of volatility, it’s best not to focus on what happens within one day of trade and trying to top- and bottom-pick can be disastrous.  Make sales at prices you want or use sell orders as a way of catching price spikes as upside potential in old crop continues to shrink.  New crop export sales are well ahead of the average pace with 25% of the USDA estimate for the 21/22 year already sold vs a 6% average.  New crop soybean sales are at 13% of the USDA estimate for the 21/22 year vs a 9% average.  Weekly closes: cash corn 34 cents lower, new crop corn down 43 cents, cash soybeans $1.27/bu lower, and new crop soybeans down $1.25.  Trade will be watching the weather with a microscope over the weekend and ready to pull the trigger at the opening bell Sunday night.  Enjoy the beautiful weekend!