Afternoon Grains

Surprisingly strong soy trade today

So far this week: May corn up 2.25 cents, Dec corn up 4 cents, May soybeans up 20.25 cents, November soybeans up 9.5 cents, and May wheat up 16.5 cents.

The soy complex was the big winner today. May beans were up 20 cents, May meal was up $8.60, and the May soy oil was up 86 cents. This seems to be signaling more short covering by managed money. They were significant buyers in the last Commitment of Traders report and as we move closer to next week’s much anticipated acres report, fund managers are taking some risk off the table. Corn traded lower most of the day before finishing unchanged. Corn can’t rally but it can’t break either. Slow farmer selling at these lower prices is helping to prop the market up, but we will see if the May contract can challenge 4.50 before next Thursday. We are also closing in on the planting season which could use some risk premium in the new crop contracts. We will be looking at some strategies to protect some new crop bushels on any further rallies before next week’s release. NFC Grain Afternoon Comments. (38)