Market Thoughts 6.05.23
We’ve been riding hard this seasonal comparison to 2013 since last October and see no reason to stop now! Two weeks ago (the 21st) we talked about how the 2013 rally started on May 21st, along with our expectations for 2023 to do the same and Dec corn has rallied 41 cents since then.
So what happens now? We continue to think it’s most likely corn tops out in the 570 area with beans and wheat following along as best they can. Both the Euro and GFS forecast models keep things dry this week and grains should open strong tonight. But the GFS model has meaningful precip showing up around day 10 and importantly, a return to much cooler temps. It looks most probable to us right now that the medium and long term forecasts are wet enough to resolve these issues.
Worth noting of course that if we’re wrong...