The Commstock Report

RECCO UPDATES FOR CORN AND SOYBEANS: On 3/19/24 we advised clients wishing risk protection against bearish numbers on last Thursday's reports to buy May 470 short-dated new crop put options for 12 cents or less on up to 50% of expected corn production.  We advised the same for soybean producers, but with May 1180 short-dated puts at 26 cents or less on up to 50% of expected production. As it turns out, Thursday's corn numbers were actually price-friendly and soybean numbers mostly neutral so we now advise selling those options for whatever premium is left to reduce the net cost of the protection. They served their purpose. Grains are called to open steady to slightly firmer in follow up of a strong close ahead of the weekend. In the Headlines Corn and winter wheat futures rallied on Thursday in response to a friendly Prospective plantings report. The report was also a touch supportive for the new-crop soybean contracts. Corn planting intentions were well below the average trade guess, but the rotation to soybean acres was not any larger than expected while cotton and sorghum acres also did not rise by as much as thought. The total acreage mix was down…