Today is report day as the USDA will come out with their Crop Production and Supply & Demand reports at 11 a.m. this morning. Our markets are quiet (and a touch weaker) ahead of that as the trade waits for the data to be released. The average trade guesses (per the Reuters survey) are calling for slight decreases in yields, and it is interesting to note that for the last six August reports, the trade estimates were actually below what the USDA came out with on both corn and soybeans. Will that happen again today? We will have to wait and see.
In other market news (which will all be promptly ignored at 11 a.m.), Chinese soy crush margins have started to turn profitable for the first time in a while (as evidenced by the fresh export sales we’ve been seeing lately) which is good to see. Taking a peek at weather, the 6-10- and 8-14-day forecasts have turned wetter, flipping to “above normal” precipitation for much of the corn belt, maybe helping finish off some of the bean fields that can still benefit from a rain. Also there is a tropical storm in the gulf (Fred) that will bring a bunch of rain up in into the Delta this weekend and into early next week. That rain may not be as welcomed.
Corn is steady to a couple cents weaker
Soybeans are 3 to 5 cents weaker