Corn Update

John Walsh General Commentary Leave a Comment

Commentary: The sideways grind in corn continues. The near term outlook offers some hope for a rally. The farmer has little incentive to sell at these levels. The Chinese should follow through on some purchases. The obvious hope is that corn is in the mix. This could be the near term boost the corn needs. I say could because the market has waited some time with nothing released as to how much corn or corn products are considered. The long term outlook needs to be considered with the acreage estimates coming out with sincere increases. If realized, the Corn carry could swell to 2.5 bil bu next year. This would be a more difficult situation as the whole feedgrain production globally could expand. The other long term consideration is the US dollar strength. This could be a head wind for exports, as we have witnessed so far this marketing year. The problem today is much of what we know is baked into the cake. The market needs a shot in the arm of something fresh to move from the sideways grind.

Trade Suggestion(s):
N/A today

Futures –
Options –

John J. Walsh
President, Walsh Trading, Inc.

Walsh Trading, Inc. is registered as a Guaranteed Introducing Broker with the Commodity Futures Trading Commission and an NFA Member.​

Futures and options trading involves substantial risk and is not suitable for all investors. Therefore, individuals should carefully consider their financial condition in deciding whether to trade. Option traders should be aware that the exercise of a long option will result in a futures position. The valuation of futures and options may fluctuate, and as a result, clients may lose more than their original investment. The information contained on this site is the opinion of the writer or was obtained from sources cited within the commentary. The impact on market prices due to seasonal or market cycles and current news events may already be reflected in market prices. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.​

All information, communications, publications, and reports, including this specific material, used and distributed by Walsh Trading, Inc. (“WTI”) shall be construed as a solicitation for entering into a derivatives transaction. WTI does not distribute research reports, employ research analysts, or maintain a research department as defined in CFTC Regulation 1.71.

Leave a Reply

Your email address will not be published. Required fields are marked *