Corn: up 6
Beans: Up 7
The corn market closed higher yesterday with strength from the energy markets. Gasoline futures hit a 5 1/2 month high yesterday, which allows ethanol producers to maintain positive margins. The market was also supported by deteriorating yield prospects for the U.S. crop. Corn is trading higher this morning as the forecast is showing more dry/hot conditions in most of the corn belt. The Iowa crop rating has dropped 19 points from its high and it’s likely there will be another decline in ratings due to the upcoming heat in the forecast and wind storm from last week. The U.S. and China met yesterday and it appears the phase-one trade deal is continuing. Rallies could be limited, however, due to limited gasoline demand as well as a surplus of corn in the U.S. and the world.
No new announcement of bean sales to China yesterday and some uncertainty about crop condition ratings cause beans to close mixed. Last week, bean exports were higher as China loaded old crop purchases and if exports continue to load the next few weeks, ‘19/’20 total U.S. bean exports could be close to 1.670-1.675 bil bu, which would be 20-25 mil bu above the USDA’s current estimates. The crop condition ratings also showed some deterioration of soybeans last week. Beans dropped 5 points over the past 3 weeks with Iowa declining for the 7th straight week. The bean crop is heavily dependent on August weather and more dry/hot conditions in the forecast is not looking favorable. The market is trading higher this morning with the drop in condition rating and the U.S./China phase-one trade deal bringing buyers to the market.
Price Later contracts are set to expire tomorrow. Please contact your local CSS or GMA to either price your grain, or roll your price later contract. Keep in mind that if you want to roll the contract forward, we NEED signed paperwork in place by 1 P.M. tomorrow.
VIRTUAL PRE-HARVEST INFO, GRAIN POLICY AND CEO MEET & GREET MEETING
Join us for pre-harvest location updates and a chat with our CEO Matt Carstens. RSVP today: https://marketing.landuscooperative.com/acton/rif/42104/e-018f-2008/-/l-tst:0/l-tst/showPreparedMessage?sid=TV2:in6yb00eT
CROP TOUR RESULTS WEBINAR SEPT. 2
Join us to hear results of our first-annual survey of corn and soybean yields from our 26-county territory. Find out how derecho damage is impacting regional yields. 7:30 AM and 5 PM times offered.