Morning Comments, July 16, 2020

Soybean Field Sunshine

Opening calls:

Corn +1 to 2

Beans +3 to 5

Corn traded higher overnight on the belief that the sell-off this week has been a bit overdone. But still, a lot of negative news in the market continues, with the question of demand, yield, and gas/ethanol demand if states continue to close back down due to COVID. 

The soybean market is trading higher this morning with decent Chinese demand for beans, and positive crush news. But funds are holding a significant long position on beans, and if negative news hits the bean market, it could spur a sell-off, pushing prices lower. Weather will continue to be a factor in beans as we approach pollination.