June 20, 2016
Grain Marketing Specialist
Crop progress report out today at 3PM.
Corn: Down 9
Weather continues to drive the market as the Midwest caught some rain over the weekend and there are more chances over the next week for a large portion of the midwest. The crop conditions report is expecting to be down from last week’s 75% good to excellent rating after the hot weather. China is expected to sell 4-5 mmt of its reserve corn this week; 1.9 mmt of that went unsold last week and is offered again.
Soybeans: Down 13
Beans gapped lower overnight, after the first lower weekly close in 9 weeks. Crop conditions are expected to be down 1-2% with the recent heat, last week’s rating was 74% good to excellent compared to last year’s 71%. Argentina was dry over the weekend making harvest progress continue. CFTC report on Friday showed spec funds long 178k contracts of soybeans, long 68k meal and long 50k oil.
Wheat: MW Down 3, KC Down 5
Harvest is continuing this week after some decent rains over the weekend in Kansas. Winter wheat harvest is estimated to be 20-25% completed. Some tests show lower than expected test weights from heavy rains after the crop matured, protein is also lower than anticipated.