The BUZZ: Spring Rally Could Lift Prices
Both corn and soybean prices could be poised for a spring rally in the weeks ahead, but first the market must get past next week's big USDA.
Bryce Knorr
Published: Mar 25, 2009
On this week's edition of The Buzz, Farm Futures Senior Editor Bryce Knorr and Market Analyst Arlan Suderman laid out their projected highs for spring and summer rallies. Their targets are well above current price levels, which appear ready to consolidate into the government's grain stocks and planting intentions reports on Tuesday.
Suderman noted a trend for prices to sell off after the USDA reports to catch their breath, before turning higher as planting issues begin to emerge. Knorr said
May corn could see a high of $4.48 if a rally gets going, with May soybeans targeted at $10.38.
While acreage concerns may drive corn prices, soybeans should continue to focus on the ongoing-dispute between farmers and the government in Argentina, says Suderman.
Wheat prices may struggle, however. The Chicago May wheat rally top is $5.70. Rains this week may take the wind out of rally hopes in Kansas City, though Minneapolis should find support from several flooding of the Red River.
For complete rally targets and more, watch The Buzz.
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Tagged: wheat, soybeans, farm, usda, farm futures
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