6/25/2024

After Monday's close offered what trader's thought was something positive, those looking for a turnaround Tuesday were quickly disappointed. There was some brief 1 higher trade in corn and soybeans managed to find some green, as well, but the market turned lower as we still search for some footing. It's no secret that there is a portion of corn and soybean acres affected by flooding but it will take a couple weeks to get a real idea of what the true damage is. For now, the market is convinced that the unaffected areas can more than make up for any crop production losses. There is more rain in the forecast so what we need is something to combine with this to get the managed money and spec funds nervous and offset some short positioning (fresh demand or another production issue). Between now and the end of the year, it feels like the 2024/25 forecasted ending stocks need to shrink some. With the sharp downturn in the markets, we should have a fair amount of bearishness already baked in going into Friday's reports.

Today, July corn was within 1 cent of its very significant low back in February. On June 5, we posted a sales target of 460 July futures to close out on any remaining old crop corn left to be sold and that hit on June 13. For those still with bushels left to price, fill cash sales at anything 440’0 or better on the July or 445’0 or better on the September.