Morning Comments, July 20, 2020

Grain bins dryer

Opening Calls:

Corn: Down 3 to 5

Beans: Up 2 to 3

Weather, yield, demand, COVID, and stimulus from the Fed are all impacting grain markets. Corn and beans are mixed today as the bulls and bears are trying to figure out what a drop in the yield number could mean to the corn carryout numbers as the trade is starting to discuss a 175 bu. yield number down from 180u. This combined with any additional demand will keep markets volatile going forward. On beans, bulls are hoping for another reduction from the USDA given current crop ratings while bulls are arguing it may need to be revised higher. Demand numbers are looking good but if the bears win the yield battle beans could trade choppy for the time. If you still have old crop to market or are behind on new crop sales, now would be a good time to get with your local GMA to look at our various marketing programs as well as put some offers in.