As expected, Tuesday’s USDA supply and demand report didn’t hold any surprises for traders. Country Futures market analyst Darrell Holaday says the planting intentions and quarterly stocks report at the end of the month will be important. “How will USDA handle the crop that’s still in the field? It baffles me that we’re going to try and project what’s out there. I think that’s one of the reason the corn market continues to stay strong. There’s still problems out in the field that’s not in the pipeline. We know the quality is pretty doggone weak.” Holaday says corn futures are suggesting very tight cash supplies of corn. “This inverted market is a sign that the market isn’t comfortable with the amount of corn in the pipeline.”
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