Grain Exchange – 8/11/2020
This time of year, the most important aspects to the grain markets are weather and crop progress, yesterday we were hit with both. The extremely dry West got rain. That same storm moved from Nebraska to Ohio causing havoc most of the places it touched. In some areas they saw high winds causing fields to flatten, buildings compressed, and power lines knocked down. It is a little early to know the exact damage of the storm but according to the path of the storm several areas of crops will be affected.
The second market influencer, the USDA crop progress, was released yesterday as well. Corn conditions of good to excellent were lowered by 1% to 71% across the US. In Wisconsin our corn conditions are holding strong at 81% good to excellent which is better that Iowa, Missouri, Illinois, and Indiana. Most corn has silked and now is mid-way through doughing. While the corn was down a percent on condition, Soybeans are up. US good to excellent bean conditions are at 74%. Wisconsin again has a great crop of beans coming on and are at 83% good to excellent. Majority of beans have completed the blooming process and 75% of the plants started setting pods. Winter wheat is wrapping up harvest and spring wheat is just starting.
Corn opened up a penny, likely resulting from the storms. WADSE Report will be released tomorrow at 11 which could cause the markets to be steady today. USDA is expecting another raise in yield for corn.
Soybeans are unchanged at this time. The storm news likely was muted by the raise in bean condition across the US. We have seen several sales to China on beans for 20/21 delivery which helped keep markets a little higher than the lows we experienced in corn and wheat futures.
Wheat is up 4 currently. Wheat has been extremely choppy. We again see huge decline in the wheat market as we wrap up winter wheat harvest. This decline has also been seen in 2021 wheat price as well. In result of decent yield and having a bountiful stock once again.
As always, the Grain Marketing Specialists are trying hard to keep risk as minimal as possible for growers. Although cash prices are not where the growers would like them to be, keep contacting the marketing team to ensure you have all the market information to make decisions.
Have a great day!