On Friday, new crop corn futures topped the $4.00 mark. Jim Bower, with Bower Trading, says the market remains uncertain about the weather, “We typically get a bump in market prices this time as year as there is some uncertainty about early crop development. This, year, however, we are seeing a lot more volatility.” Bower said the weather forecast for the next two weeks looks hot and dry, “The market is going to put some premium in now on the chance we will see hot and dry conditions in the corn belt. If it rains, they may take it back out.”
At the end of this month, the USDA will release the first official planted acreage numbers. Bower says, while this will be an important report, it is not likely to be a market mover, “There has been a lot of discussion and speculation in the market about this; but I still think weather, both domestic and international, will be the dominant factor in the market.”
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