Trade shifts attention back to weather
There were no big surprises in today’s supply and demand report from USDA and the trade quickly turned its attention to what appeared to be a moderating weather outlook for the Corn Belt over the next few days.
Market analyst Arlan Suderman says weather is the key to whether corn
market can move higher.
“You’ve got to take a billion bushels off this before the market
really gets interested—and, so far, the market simply hasn’t seen a weather
risk to justify that,” Suderman says. “So we’ve got to have a greater weather
threat that the trade can really grasp and understand.”
USDA left its corn yield unchanged at 178.5 bushels per acre. Suderman thinks it will be lower than that.
“But how much? Right now, I can’t say it will be significant enough to matter to the markets. But a week from now, that may change.”
Suderman made his comments during a StoneX webinar on Friday afternoon.