Fade The Rally?

Corn (July)

Fundamentals: July corn futures rallied to start the new month of trade thanks to weather frost concerns in areas of the Midwest, coupled with hot and dry forecasts for areas further north. That momentum to attract follow-through buying in the overnight/early morning trade, thanks in part to a good crop progress report. The first crop ratings came in at 76% Good/Excellent, well above the average analyst estimate of 70%. Over the last 15 years, the first weekly condition ratings have been 71% or better, six times. Five of those six years finished with above trendline yields. Weather in the coming weeks will become increasingly important.