Morning Comments October 10, 2018

Yesterday, the December corn contract closed 2 cents lower settling at $3.66 ¼, and the July contract was 1 ¾ cent lower closing at $3.89.  The weekly export inspections showed that U.S. corn exports are strong at 1.35 MMT, coming in on the high end of expectations. President Trump announced yesterday that E-15 could be blended year around, which could raise consumption of 40-50 million bushels, but waiting to see if big oil fights it. Harvest progress moved ahead last week at 34% harvested vs. the average of 26%, Iowa is on pace at 15% vs. the average at 13%.


The November bean contract closed 6 ¾ cents lower yesterday settling at $8.63, and the July contract was 4 ¾ cents lower settling at $9.14. Funds and farmers where sellers yesterday ahead of supply fears with WADSE report tomorrow, and beans saw another week of weak export inspections. Nationally bean harvest progression is within trade expectation and only slightly behind at 32% vs. 36% average, Iowa is sitting behind our normal pace with only 18% complete vs. the average of 31%. Weather is turning favorable next week for beans, and it will be interesting what next Monday’s report shows for progress.



Crop Progress Summary
Corn Mature 93% TW vs. 86% LW, 80% LY, 83% AVG
Corn Harvested 34% TW vs. 26% LW, 21% LY, 26% AVG
Soybean Dropping Leaves 91% TW vs. 83% LW, 88% LY, 85% AVG
Soybean Harvested 32% TW vs. 23% LW, 34% LY, 36% AVG