October 3, 2017
Grain Marketing Specialist
CORN – As of 7:45 - down 1
Corn took a hit yesterday, retracting its gains that stemmed from Friday’s report. Harvest is here, and the market is feeling the pressure from the eastern corn belt. Crop conditions were released yesterday afternoon and they showed that corn improved 2% to 63% good/excellent. This crop is a little behind last year in denting and maturity, and in addition, we are 6% behind last year in the harvested category at 17%. Export inspections this week were at 30.8 mbu, which is behind the 35 per week that’s needed to stay on pace with the USDA target. We also got news yesterday morning of a 23.5 mbu flash sale for 17/18 delivery.
SOYBEANS – As of 7:45 - down 2
Yesterday’s double digit losses took away more than what was gained in Friday’s rally. Support from the 40-day MA at 9.55 was breached overnight. Harvest is well under way in the ECB while the west has seen scattered rain showers appear, making a steady harvest difficult. The US is currently 22% harvested, up from 10% a week ago. Brazil caught some beneficial rains during their planting season. Export inspections came back at 32.9 mbu, which was well below expectations of 35-47. Flash sales nowadays are “just another day in the market”, with 132k metric tons this morning announced to China in 17/18 marketing year.
WHEAT – As of 7:45 - Mpls up 2, KC up 1
Spring wheat led the way lower yesterday, settling 12 lower and still digesting the bearish stocks numbers released on Friday. In addition, a sharply higher dollar has taken a toll on the commodity complex. The USDA pegged 36% of US winter wheat planted vs. 41% last year. 12% of it is emerged, which is 6% behind last year’s pace. Export inspections yesterday came back ahead of expectations at 25.4 mbu, which puts us 13 mbu ahead of USDA pace for the year.