October 6, 2017
Grain Marketing Specialist
CORN – As of 7:45 – steady
Yesterday’s corn trade spent most of the day bouncing around the $3.50 mark. A decent export demand combined with harvest delays and a positive bean market pooled together to help support corn and finish a penny better on the day. Heavy rains in the panhandle of Texas have left some fields with standing water in them, and setting them back at least another week before they can make further harvest progress. In preparation for next Thursday’s WASDE report, Informa Economics released their updated corn yield estimates at 170.5 bushels per acre. The USDA currently has corn pegged at 169.9 bpa.
SOYBEANS – As of 7:45 – down 1
Soybeans traded higher yesterday on a behind-schedule harvest pace and a Midwest that keeps getting rain. We also found support from the funds as they bought about 8,500 contracts. November beans pushed right through the 10 and 20-day moving averages, and were even able to close above resistance at the 50-day moving average. Informa released their soybean production number—an estimated yield of 50.0 bushels per acre. The USDA is currently estimating 50.0 bpa.
WHEAT – As of 7:45 – Mpls up 5, KC steady
Not a lot of fresh news in the wheat complex—winter wheat yesterday lost a few cents and spring wheat posted a 5 ½ cent gain in the nearby contract. Interesting tidbit of information about our export sales on wheat: we are currently sitting at 170 mbu—that is the 2nd lowest number in the last five years, right behind 2015. The dollar index trading higher does not help our competitiveness in the export market. Rains in the major US winter wheat growing areas are providing for a good growing season ahead, although it is being said that wheat acres may be slightly harder to find as each year, farmers become less interested in growing the small grain.