1/27/2021
Jan 27, 2021
![1/27/2021 1/27/2021](https://storageatlasengagepdcus.blob.core.windows.net/atlas/all-media/glaciplaincoope/commentary/2021/january-march/thumbnails/propane-tank-350-x-300.jpg?ext=.jpg)
Corn got back to the highs on the overnight trade and right out of the gate on the 8:30 open before fading back to nearly unchanged by 8:35. We had more sales announced to China this morning including 680,000 metric tons of corn, 132,000 metric tons of new crop beans followed by a bean sale to unknown for old crop beans in the amount of 126,500 metric tons. This market feels like we are back in rationing mode and according to these corn sales, we are still not doing enough. The carryout’s continue to get tighter by the day. We have inverses growing in both markets, which definitely makes things interesting going forward. Grain was moving today when we were near the highs, but that didn't last long. Basis feels stronger for both corn and beans today, but we will see if that materializes. If we break into new highs and grain starts moving again, basis may try and relax some more. Brazil weather is very wet and causing some delays with early harvest. There are places that have seen 6-9 inches of rain in southern Brazil, which is also causing a lot of delays at the export facilities. China might be back for another round of US beans in Feb if that continues, but I don't know how many shuttle quantity sales are left in the country. Argentina weather has also improved, but took a hind seat to the bulls as recent US business took precedent.