Corn has lost a dollar in value recently and the entire grain complex completed down patterns in the model again Friday. Farmers are hoping the high temps over the next week produce some kind of price pop. No one we have spoke to since arriving in the mid-west feels loftier pricing can be sustained for long, however.
So much product has been planted in the age of abundance that a new weather condition has developed in the Plains called Corn Sweat. High heat and fence post to fence post "Frankencorn" combine to sweat so much moisture into the air as to send humidity readings and the heat index soaring. Watch for this phenomenon this week.
We have felt that income bumps and basic service price increases would combine to nudge inflation readings up enough to expose the folly of low (negative) FI renting for capital gains. Public transportation, road tolls, rents and Starbucks are all costing more. The incoming weather pattern should provide some flopping around in grains but the crop as a whole remains enormous.