June 18th 2014
Brad Olson
Grain Marketing Specialist

USDA will release acreage and stocks report June 30th…..

Corn: As of 7:45- 2-3 higher

Yesterday corn continued its move lower on more of the same thing we have been talking about- good growing conditions…. There does seem to be growing concern about flooding in parts of the western Corn Belt but the jury is still out. Ethanol production out later today as it will be interest to see if we see a reduction as DDG’s sales have fallen off and are now trading 80-90% of corn value. July corn put a new low in for the move while 4.35 continues to hold for Dec.

Soybeans: As of 7:45- oc 10 higher, nc 2 higher

Spreading seems to be the name of the game. There remains some concern over oc tightness but you wouldn’t know it from what the spread has done recently – I have attached a chart below. Funds are estimated sellers of 10,000 contracts yesterday helping to fuel the fire. As in corn there is some spot flooding concerns.

Wheat: As of 7:45- 3 higher

There is little to talk about in the world of wheat this morning. The spring wheat crop looks good while harvest has had a rugged start there does look to be a harvest window ahead of us. There is some concern over quality with the slow harvest pace. Technically this market looks “oversold” and due for a bounce.