MARKET COMMENTARY

Opening calls:

Corn steady to down 1c

Bean down 8c

Corn closed yesterday down ½ cent lower @ 3.39 ¼ - Soybeans closed 5 ¾ cents lower @ 10.02 ¾ . The soy complex is trading lower this morning after recent rallies pushed us into “overbought” territory. A little pullback to correct the overbought conditions is not a surprise. Soymeal is down 3.5% and soyoil is down .75% this morning. Record large U.S. supplies are keeping a lid on our current rally. Additionally, the extended forecasts for SAm have more moisture than before, putting pressure on soy prices. Corn is also trading slightly lower due to the weather forecast in Southern Brazil and Argentina. Export sales (published every Thursday by USDA) were “middle of the road” for corn at 34.5 mbu and “strong” for soybeans at 74.1 mbu. The strong soybean number could provide some buying support at the 8:30 open.

Crude oil futures are trying to hold above $56 a barrel and the Dollar Index is marginally higher this morning.