Friday, April 27, 2018

Corn update

I never was able to get a full boat on in corn futures. I did add on the dip, but I thought the market was going to punish the long specs more than it did. So I'm at about 60% long. The weather in the corn belt has warmed up, and the soil is getting warmer. Still, the forecast is for slightly below average for the first 2/3 of May.
At this point, the upside of the corn market is all optionality. There is nothing in the stats that could be called tightness now. But with the lower plantings and the possible poor planting weather, I think prices should be firm for the next week or so at least. After that, we will have to see.

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