Good Morning –
The corn market closed lower yesterday dropping as much as 6 3/4, making new lows and settling near them. The EIA ethanol production report showed production reduced by more than 15% when most analysts were expecting a drop of around 5%. At the same time, ethanol stocks increased again to a new record of 1.15 billion gallons. Also, as more meat and poultry plants begin to close due to outbreaks of the coronavirus, corn used for feed demand is being questioned. Soybeans ended yesterday 3 3/4 lower ahead of today’s weekly USDA Export Sales Report. Soybeans continue to show a large supply as the Brazilian bean harvest continues and an estimated 85 million acres to be planted in the US this spring. One good news item was the March NOPA report showing U.S. crush at 181.4 million bushels, vs. an expectation of 175.2
If you are planning to move Old Crop corn or beans when planting wraps up, now would be a good time to get some offers in place with us. AND, take another good look at the bins to make sure you are maintaining quality, especially with the warmer temps predicted for next week.