Soybeans and Old Crop Corn Drive Grain Markets

Van Ahn and Company market analyst Kristi Van Ahn says soybean demand is the unknown in the grain market. “Soybeans are a wildcard and we need a big yield. We need demand to back off. Soybean crush has been extremely strong, but the question remains how much will China buy. It’s been quiet so far and we know South America had an ok crop. For the time being, the market might back off a bit, but there’s many moving parts.” Demand for old crop corn is another market driver. “It’s a very hot story with old crop corn for two reasons: Chinese demand and basis levels. My goodness, we’ve not seen basis levels like this ever.”