AM Comments 08/01/14
Friday, August 1, 2014, 8:08 AM
Submitted by: Dustin Weiner
The weather models continue to show rain in the forecast for next week which has caused our futures markets to trade lower on this first day of August. There are a couple rain “events” scheduled with the first one rolling through the first half of the week, bringing a couple tenths to a half inch or so. The second system is pegged for later next week which could bring anywhere from a half inch to over an inch for most of the corn belt.
Other than that, not much to go on. Something to watch out for is that we are in a bit of a short term ‘weather market’ and when we take two full days off from trading (this weekend for example), a lot can change. We can flip the screen on Sunday night and if there’s been a major change in forecasted rain coverage – futures prices could react violently. This thought may cause traders to even up their positions a bit as we get closer to the 1:15pm close today…
Corn 1 to 2 cents lower
Soybeans 8 to 12 cents lower
Have a great day!