Grain traders are reluctant to take large positions ahead of the planted acreage report. Kluis Commodities market analyst Jacob Burks says weather and acres will drive the market. “The realization when we look at what is actually put in the ground this spring, that will be a big number and this can shock the market. When there’s a three to four million acre difference, it can have a lot to do with our direction this summer.” Burks expected traders to keep some weather premium in the market until more is known about yields. “There’s a lot of talk the USDA needs to bring down trendline yields in these reports and they’re reluctant to do that until we get through pollination. If we continue to lose rain, I think that will happen quick.”
