Latest models have increased rain totals into early May. Are there delays in corn? | RJO FuturesPosted 04/25/2017 9:50AM CT |
The market has set back overnight after the crop progress report showed plantings were further along than anticipated. July corn closed with a 1.75 cent gain on Monday, the first higher close in five trading days. China’s corn imports for March plunged 99.1% from a year ago, with imports at 5,262 tonnes, the lowest since 2013. The gap between international prices and domestic prices has closed as a result of Beijing’s farm support policy. The latest GFS models have increased rain amounts in Illinois, Missouri, and Arkansas areas for the weekend and into the start of next week. The weekly corn planting report showed 17% complete compared to 6% last week and 28% last year. The 10-year average for this time of year is 18%. The highest percent complete was 41% in 2010. With the big jump in Illinois and Missouri plantings, some producers will actually welcome the rains. The market could stabilize after last week’s steep decline as the managed money traders net short position increased 13,392 contracts as of April 18. From a technicians standpoint, July and December corn both put in a doji star on Fridays close which could be a signal of weakening selling pressure and possibly a change in the trend.