Grains were higher in early morning trade on Monday with soybeans leading the complex higher on a 20 cent advance. In outside markets, active trading was still being tied to the outcome of the Brexit votes as the US dollar shot higher while equities and crude oil were lower.
Soybeans were catching up to other grains which were able to find some bounceback on Friday. Soybeans in particular have faced the biggest brunt of the selloff last week. This morning USDA announced a flash of 150,000 MT of soybeans to unknown destinations with 132,000 going for old-crop delivery.
In the weather, the corn belt is looking at temperatures in the high eighties today with little chance of rain until Wednesday. But, the current 6 to 14 day outlooks shows normal to below normal temperatures while precipitation forecasts show above averages chances for rain throughout much of the Midwest for this time period.
Crude oil prices fell sharply lower on Monday and is closing to testing support levels at the $46.30 mark. Strength in the US Dollar combined with potential economic weakness caused by the Brexit fallout continue to be catalyst for the selloff.
With results of the Brexit vote the sterling continues to slump as does, European stocks, S&P 500 Futures and the Dow Jones. The bank of England has said that they will step up and inject 250 BIllion Pounds (330 Billion USD) in order to support the financial system. The bank of England also stated that this was not the only additional measure available.