FOR WEDNESDAY: (6/27) Nothing bullish in the forecasts. We think grains will short-cover before the USDA but will be hard to hold anything into the weekend. We have a bias for higher prices next week but the seasonal odds are usually against us. Cattle continues to look weak but as pre-holiday conditions thin, anything can happen.
JULY CORN
TODAY’S COMMENTS: (6/27) Corn got close enough to 347 and has bounce off of that and looking for more is too much. It’s probably a safe buy for a few days if you’re so inclined. We do expect short-covering to continue this week and we have a light bias to be long into July 10. The issue is whether another flush down could happen Friday on the quarterly stocks report, and then we always have to deal with weekend weather changes. Corn is growing so quickly in some areas that it may be pollinating early so any weekend rain is not going to be supportive for longs into Monday.
CYCLES OVERVIEW: Higher Wednesday; higher into Thursday; volatile Friday; higher into July 2; lower into July 3; higher into July 5 and 10.
