Soybeans finished sharply higher on the day. The weather remains the driving force behind the supportive market action after a drier-than-expected weekend and no rain in the forecast. Corn finished down, reversing after an overnight surge.
CORN: December corn finished down 6 3/4 at 475 1/4, 18 1/2 off the high and 5 up from the low. March Corn closed down 6 1/2 at 488. This was 6 up from the low and 18 off the high, according to the CME Group's Tuesday afternoon report.
Corn futures surged to the upside overnight on the heels of a supportive weather forecast for the soybean market but the upside action didn't last long and Dec corn reversed lower to finish the session in the red. With harvest edging into the southern Midwest, new crop rallies may become more difficult to sustain, the CME said. The market is expecting crop conditions to decline by 2-3% in this afternoon's Crop Conditions report.
The Sept/Dec spread edged higher today while new crop spreads pushed out their carries. The September contract finished in the green on strong commercial buying as cash markets remain historically firm across the Corn Belt, the CME said. As harvest moves forward, additional weakness is expected, although once the surge of new crop supply hits the market, additional sales are unlikely at current price levels and cash markets may stabilize. Export inspections were slightly supportive to the old crop market with shipments for the week ending August 29th estimated at 17.4 million bushels, up from 12 million a week ago. The cumulative shipment pace is estimated at 97.3% of the USDA forecast vs. the 5-year average of 96%.
SOYBEANS: November soybeans finished up 29 1/4 at 1386 3/4, 21 3/4 off the high and 8 1/4 up from the low. January soybeans closed up 30 1/4 at 1385. This was 10 up from the low and 18 1/2 off the high, the CME reported. December Soymeal closed up 15.2