Corn again was held on a tight 6 cent downward range yesterday as CZ was able to hit $3.36 before falling back at the close to $3.31. The funds broke out of there net even phase and sold off an estimated 11k contracts as weather models remain unchanged with WCB receiving good rains and the ECB drier and cooler. About 15% of the belt will experience moderate to severe heat stress the next 14 days. The USD has received a little bounce this week after dipping just below 95, and is back above 96. INFORMA comes out with their yield projections around 10.30CT, which could make for an interesting close as more and more crop tours are reporting yields higher than the USDA’s 168. The CU/CZ spread has been at 10 for the past 3 days after dropping from 8 to 10 in 2 days, as more crop updates hit the news wire and bear spreading takes place it has quickly pushed us out. Well with it being Friday we could see a little bounce on the open off the negative week, but INFORMA’s numbers could quickly change the tone. CZ has support $3.30 and resistance at $3.38.
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