September 2, 2014
Grain Marketing Specialist
CORN – Unchanged
Rains have been adequate to say the least this past week with much of the Corn Belt receiving late August rains. Some parts of the Midwest still concerned with crop maturity and frost concerns during the month of September. Recent reports indicate the domestic crop is 5-10% mature as of August 31 compared to 3% last year and the 5 year average of 16%. Locally, cool weather looks to be in the forecast early to mid-next week. Lows still remain in the upper 40’s to lower 50’s. Technically, December futures still showing support at $3.58 CZ14, with range-bound resistance at $3.81 CZ14. Below is a look at the December 14 day chart.
SOYBEANS – Up 5
The crop progress/condition report this afternoon is likely to show the bean crop similarly rated as last week around 70% G/E. China auctioned a few more beans out of reserve last week as 132tmt of 337tmt were sold. The trade is still waiting to find the bottom of this market. Projections of 84mln acres planted with a 45bpa yield still puts the balance sheet around a 400 mln bushel carryout for this coming crop year. Nearby support for the November contract is tough to pin down at this point with new contract lows being made what seems like every other trading session.
WHEAT – Kansas City Down 1, Minneapolis Down 2
Spring wheat harvest continues with delays as rain and humidity continue to stand in the way of completion. Crop progress report should show spring wheat somewhere in the 65-66% G/E rating in tonights report. US and Canada continue to have large supplies on hand with the new StatsCan numbers to be released on Friday with 7/31/14 stocks.