As the market has its sights set on two major USDA crop reports next week, price action was fairly uneventful this week. Despite this week’s lack of noise, the market may still be sending a message, especially with the new crop spreads
“What we’ve seen is the December/March corn spread is it’s leaking a little oil in here and working a little bit lower testing some support, while the new crop November/January soybean spread is staying pretty strong,” Darin Newsom of Darin Newsom Analysis said on U.S. Farm Report. “So, overall, what this is telling us is the commercial side may be getting a little bit more comfortable as we head towards planting season, possibly the idea that we could see maybe more corn acres than expected. Early on we were thinking that soybeans might be trying to buy some acres away. But the spreads are indicating corn may be holding on to most of its acres possibly increasing again, soybeans aren’t likely to get all they’re going to need to rebuild supplies.” Read more
