Corn: 3 to 4 lower
Beans: 1 to 2 lower
Corn markets traded lower overnight and into this morning despite the drop in good/excellent rating of 2 points this week to 62% compared to 64% last week. There is some talk of a reversal due to the weak close yesterday despite the 23.5 million bushel new crop sale to China that was announced yesterday morning. U.S. corn export shipments were the lowest in 32 weeks at 15.8 million bushels from 35.1 million bushels the week prior. The previous 6-week average is 39.4 million bushels/week and market expectations were 31.5-43.3 million bushels. The corn market may have priced in the damage from the wind storm and the hot/dry conditions and traders are taking some profits with momentum indicators turning lower yesterday.
Soybeans traded lower overnight. The bean market was able to close higher yesterday, although it pulled back quite a bit from the highs made in the overnight. Fund selling and farmer seller were the two key factors. Export shipments finished the marketing year strong with 29.6 million bushels in shipments last week which was within the trade expectations of 23.9 to 36.7 million bushels. Bean good/excellent conditions also dropped 3 points last week, coming in at 66%, down from 69% the previous week. Hurricane Laura impacted the Louisiana bean crop with the rating dropping 28 points in one week to 60% from 88%. The Kansas crop dropped 11 points and the Iowa crop dropped another 6 points and is now the lowest-rated crop at 50% good/excellent. The Iowa crop has dropped 34 points in the last 8 weeks. However, keep in mind that the national good/excellent rating is 11 points higher than a year ago and above the long-term average of 57%.
With the market so volatile as of late, putting in offers is a great strategy to get bushels priced for fall and off-season delivery. Call your local Landus location or GMA to get some working today.
Reminder: We will be hosting webinars tomorrow to summarize the Landus 2020 Crop Tour. One begins at 7:30 AM and the other starts at 5 PM. Register today! https://register.gotowebinar.com/rt/6619029621798809355