Morning Comments April 28, 2020

Challenger1000 Series Tractor Planting

Opening Calls:

Corn: Steady-1 better

Beans: 2-3 better

Corn planting fired up in earnest across the heart of the belt over the past week, with excellent planting conditions in the Upper Midwest for 5-6 days before rains stall the action today. National corn planting progress came in at 27% complete this week, up from 7% last week and above 12% last year and the 20% five-year average pace. Corn emergence came in at 3%, up from 2% last year. Iowa’s corn planting progress came in at 39% up from 2% last week and 16% last year. Corn is trading a little higher this morning due to the dollar being weaker this morning and except for the June contract, crude oil is trading higher. However, the demand destruction continues and with a large percentage of the corn crop in the planted in a timely manner into good soil conditions.

Soybean plantings rose from 2% to 8% done this week, up from 2% LY and the 4% five-year average pace. US soybean export shipments last week of 20.4 mil bu were little changed from the previous week’s 20.3 mil bu. This morning the soybean market is trading higher with the outside markets trading higher and traders encouraged by moves to open the economy back up. The potential for Chinese business continues to make traders think a little harder about pressing the short side of the soybean market.

Rains were mostly light over the past 24 hours but have fired up to slow planting activity in the upper Midwest this morning. More action looks likely for the Midwest now late in the weekend through the early part of next week, with 6-10 day maps running wetter as well. 11-15 day maps remain drier.