Friday afternoon, December 2019 corn closed up 2 cents at $3.77 ¼, down 12 cents for the week. December 2020 corn finished up 1 ½ today at $4.01, down 4 ¾ from last Friday’s close. January 2020 soybeans closed down 5 ½ today at $9.31, down 5 ¾ for the week. November 2020 soybeans closed down 5 cents at $9.67 ¼, down almost 5 from last Friday.
Today’s WASDE report offered some excitement in the corn market, with USDA reducing yield by 1.4 bpa to 167 and taking total production down to 13.661 billion bushels. For world ending stock numbers, corn was decreased from 302.6 MMT to 296 MMT. Shortly following the report’s release, the corn market was up 8+ cents but finished the day only slightly up.
For soybeans, the USDA made no changes to their yield or production numbers of 46.9 bpa and 3.55 billion bushels. Ending stocks were increased slightly by 15 million acres to 475 million bushels due to an adjustment in demand.
Harvest progress continues to lag behind last year and the 5-year average, and a couple of overnight snowfalls have not helped. Last Sunday’s progress showed the U.S. at 52% complete vs the 75% average. Trade will be keeping a close eye on Monday’s crop progress report to see how much catchup was accomplished this week. Part of a trickle-down effect of the late harvest is lower than expected corn export numbers, with 10.8 million bushels shipped as of last week compared to an expected range of 15 to 25 million bushels. Ethan production continues to gain a little momentum, increasing for the 6th straight week at 298 million gallons.
Where corn exports continue to struggle, soybean exports are hanging on the upper end of expectations at 54.4 million bushels shipped last week. This is well above the same time last year. Specifics on a potential “Phase 1” of U.S. and China negotiations continue to be unknown, but trade is still optimistic we are moving closer to a signed agreement.
Monday, November 11th is Veteran’s Day. While this is a federal holiday, the markets will be trading normal hours.