Funds, Not Producers, Get More Bearish Corn
As the funds continue to get more bearish on the corn market, producers and merchants cut their net short positions vs. a week ago, according to Friday’s Commitments of Traders Report.
In its report, the Commodities Futures Trading Commission stated that managed money funds added 23,242 corn short position while cutting long positions by 4,188. This now makes this investment group net short the corn market by 123,800 contracts vs. short 96,370 contracts a week ago.
Managed money funds added 2,321 long contracts in the soybean market, while cutting 1,672 short positions. In all, this investment group is now net short the soybean market by 71,558 contracts vs. 75,551 a week ago.
On Friday, the COT Report shows that producers cut their corn long positions by 43,163 contracts while cutting corn short contracts by 69,407. This group of investors is now net short the corn market by 245,477 contracts vs. 271,721 a week ago.
For soybeans, producers added 2,940 long contracts to their position while adding 11,044 short contracts. The producer, merchants remain net short by 36,271 contracts vs. 28,167 a week ago.
What say you? Chance for a nice rally, once the outside investors rush to the other side of the boat?