September 16, 2014
Grain Marketing Specialist
Traders are buying in this morning as stories of low temperatures cause fears! Weather forecasts have us warm and dry for the next week to 10 days. Potential rain systems, later in the week, are seen as beneficial for winter wheat areas.
Corn as of 8:00am: 3 higher
We are seeing a small bounce in the markets as traders bargain hunt. The Trade is trying to figure out damage done by frost in the northwestern Corn Belt. To what extent will the damage be? Time will tell. Crop conditions yesterday have corn at 74% G/E vs 53% last year. Dent progress is at 82% vs 79% last year and 85% on the average. Maturity is only at 27% nation wide which is down 12% from the average. Export inspections were at 29.2 million bushels. We have some life here in this corn market, but there is no reason to believe we have found the bottom.
Soybeans as of 8:00am: 2 higher
Frost is also a concern as the trade deduces the impact it will have. Any real frost damage may not be found until next week’s crop progress report. Crop conditions were unchanged for the week at 72% G/E vs 50% average. Leaf droppings are at 24% which is exactly where we were last year at this time, but we are behind the average of 32%. Southern bean harvest has started and yields are being reported as very good. Export inspections for the week were somewhat weak at 9.4 million bushels. Bottom line, unless significant damage is found, there really is no reason to believe this market has found the bottom.
Wheat as of 8:00am: 2-3 higher
Wheat holding on to it gains in the overnight. Spring wheat harvest is only at 74% complete. The average, for this time of year, is 86%. Winter wheat seeding is at 12%, one percent higher than this time last year. Export inspections for the week came in at 20.1 million bushels. This number was above trade guesses.