Bullish factors coming together?

Overnight- Corn, soybeans and wheat all moved higher overnight.

Are we finally seeing some of these bullish fundamentals come to roost or did we get just enough rally to bring technical buying from the funds?

It is likely both.

We have planting delays here in the US, but we still have plenty of runway to get planted but the futures market is getting ahead of the rest of us. Are we going to have more delays and by the time we realize it the futures have already rallied.

Heavy rains in S Brazil are causing major flooding during the last half of soybean harvest and Argentina is dealing with an insect plague that has dropped their corn crop estimates by 10 MMT.

Russia and E Ukraine continue to miss rains and wheat crop estimates have been moving lower.

We had a miss in the jobs report this morning. The Fed may have got their first clue they have slowed the economy. Short term it had the USD down 50 cents.

Bottomline

We are challenging major moving averages for many contracts. Corn is above the 100 day in July and December (460 & 477.25). Soybeans are close to the 100 day in July and above it in November (1222.0 & 11.90). Let’s see if we can close above these levels as we will likely see more fund liquidation. Do not get complacent on this rally. If you were feeling undersold, we prices were lower play some catch up now. NFC Grain Afternoon Comments. (41)