Dryness expanding into Iowa and Illinois

Corn, soybeans and wheat futures held most to all of their gains from Wednesday and are higher in the overnight session. The “drone strike” on the Kremlin seems to have stymied the selling pressure we have seen for 2 weeks across all commodity markets. Funds had been big sellers the 2nd half of April as demand concerns and the prospect of excellent planting progress in the heart of the Corn Belt gave them confidence to keep selling. We also have macroeconomic headwinds jumping on board as the Fed keeps fighting inflation. Can we sustain this upward momentum? Have we spooked the funds enough to stop their selling bias? Argentina is likely to lose more production from the already massively cut estimates. Brazil basis has improved as early harvest selling has slowed and dry conditions are expanding east into much of Iowa and parts of Illinois. So not all news is bearish currently and you have seasonal support in your favor as well. For today, we will use 5.81 & 14.10 for support and 5.95 & 14.40 for resistance. NFC Grain Comments Options -5.5.23