July Corn closed 40 cents lower ($6.33), Sept 40 cents lower ($5.48 ½) & Dec 40 cents lower ($5.32 ½)
Weekly Corn Export Sales – 18.0 K T. old crop vs. -100 +400 K T. expected – 276.1 K T. new crop vs. 100-500 K T. expected
So what happened today behind the dramatic losses. We know we have bearish forecasts on the horizon as they been in the market since last Monday. Then came the sharply higher US Dollar that stemmed from yesterday’s FOMC meeting results (higher interest rates coming sooner than what most had been thinking). The end result was grand scale commodity liquidation. You will be hard pressed to find a commodity that has been recently classified as bullish that is not sharply lower today. It was like a snowball going down the hill; it kept getting bigger and moving faster. Yes, I think today was overdone but if the recent forecasts for cooler temps and beneficial moisture become a reality I have to start thinking the bull market’s back has been broken. As I mentioned the other day weekly corn charts are already suggesting the party is over.
Daily Support & Resistance – 06/18
July Corn: $6.20 – $6.50
Dec Corn: $5.22 – $5.56
The risk of trading futures and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.