Note that, when we speak about Newton's laws at a basic level, we treat all masses as point masses, hence we do not consider the rotational effects caused on the body.
In this case, it is an extended object, hence we have to consider the rotational aspect of the body when force is applied. What happens here is as the weight is taken away from the point where you are holding, another physical quantity called torque increases.. for a basic view, as force causes acceleration, torque causes angular acceleration and is directly proportional to distance from the point about which it rotates.
Since the rod about which we speak is not fixed at any point, it rotates about its center of mass, now if u apply exactly enough force to carry the weight of the bag, the system will NOT accelerate, but will will start rotating for infinitely small period of time but as the rod rotates, the weight of the bag starts to act at an angle to the rod as it rotates, which breaks the equilibrium, but if we assume that we take the rod to space, and instead of gravity/weight of a body, we take two rocket engines and attach them to a rod such that they apply same amount of force in opposite directions in the rod, we find that the center of mass of rod does not accelerate, but the rod may rotate due to the imbalanced torques.