Wednesday June 24, 2020 By: Eric Peterson
Corn closed a fraction higher this morning with the July contract trading a three cent range overnight. Technically, support for July corn is below at the 50 day moving average of $3.23. The focus will now turn to the planted acre report due out June 30th. Acres are likely to be around 94 million compared to 97 million intentions on the last report. Look for mostly flat trade today as weather forecasts are generally viewed as non-threatening.
Soybeans saw two sided trade overnight with the July contract trading a five cent range. Favorable weather across the U.S continue to pressure the market. Prices are drawing additional pressure form uncertainty over the continuation of Chinese buying of U.S goods. Look for steady to higher trade as traders continue to be checking daily export sales announcements for signs of continued demand.
Spring wheat was weaker overnight on China headlines and some harvest pressure. Winter wheat harvest is 29% complete with Kansas at 25% and Oklahoma at 85% complete. Winter wheat conditions saw a 2% increase while spring wheat saw a 6% decline but still very good ratings at 75% good/excellent. Look for slightly lower trade today as the decline in spring wheat ratings could provide underlying support.
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