Morning Comments May 27, 2020

Agronomy Young Soybeans

Opening Calls:

Corn: 1 to 2 higher

Soybeans: 3 to 4 higher

Yesterday afternoon we saw the release of the USDA’s weekly crop progress report that showed the following: 

Corn

% Planted National: 88% vs 80% last week, 55% last year and 82% average, with Iowa at 97% vs 74% last year and 91% on average 

% Emerged National:64% vs 43% last week, 28% last year and 58% average, with Iowa at 82% vs. 36% last year and 66% on average 

Soybeans

% Planted National: 65% vs 53% last week, 26% last year and 55% average; Iowa is 92% vs. 31% last year, and 64% on average 

% Emerged National: 35% vs 18% last week. 9% last year and 27% average; Iowa at 52% vs. 7% last year and 25% on average 

The corn market traded higher yesterday for a number of reasons including optimism about ethanol plants reopening, weakness in the dollar and the strength in the macro markets as the U.S. and global economies reopen after COVID-19. Corn is trading higher again this morning. 

The soybean market closed higher yesterday along with the macro markets trading higher and the news of Chinese demand. The USDA announced sales of soybeans to China which totals of 9.5 mil bushels, with 2.2 mi bushels being old crop and 7.3 mi bushels being new crop. The soybean market is trading higher again this morning as there is concern over the final 25% of the planting progress due to wet conditions. 

As a reminder, the application for the Coronavirus Food Assistance Program or CFAP is now available and more information can be found by calling your local FSA office or by going to www.farmers.gov/cfap