AM Comments 5/20/15
Wednesday, May 20, 2015, 8:05 AM
Submitted by: Eric Kist
Following yesterday’s downward moves in corn and beans, the overnight markets saw mostly mixed price action, and are now trending lower as we head into the morning session. Follow-through selling from yesterday is also expected today, as weather continues to be the key input.
Central Iowa is seeing some modest rains this morning, but a slightly drier outlook for the corn belt as a whole is forecasted for the remainder of the week. Pockets of farmer activity surfaced yesterday, but heading into the weekend those planters will most likely be parked, as weather forecasts are predicting major rain events beginning Saturday and continuing into next week. Expanding our outlook beyond the upcoming 10 days does offer a bit of optimism, though, as early forecasts for the summer growing months do predict much more normal weather patterns, which will be favorable for crop development if at all accurate.
The US $ is slightly higher again this morning, after making significant jumps the past two days—including the largest daily gain in more than three months yesterday—and continues to put pressure on commodities.
Opening calls for today’s trade:
Beans: 2-3 lower
Have a great day!