Corn Steady to 1 lower
Beans 5 to 6 higher
Corn traded steady to a bit lower overnight. Soybeans took back yesterday’s losses overnight and are 5 to 6 higher at the morning break. The U.S. grain council stated that worldwide ethanol production is down 22% due to the pandemic, and it could take until 2022 to return to pre-pandemic levels. Yesterday’s NOPA soy crush report showed soybean crush fell to the lowest level in nine months, but keep in mind that a lot of annual maintenance, with extended shutdowns, happens in soybean processing plants during August. The World Trade Organization (WTO) ruled that the U.S. broke global trade regulations when they imposed tariffs on Chinese goods in 2018; U.S. Trade Rep Robert Lightizer responded with “The U.S. must be allowed to defend itself against unfair trade practices, and the Trump Administration will not let China use the WTO to take advantage of American workers, business, farmers, and ranchers.” For now, trade is waiting to hear yields from the field with combines starting to roll.
Weather looks favorable for harvest to kick in this week. Please be safe!