Thursday, August 22, 2019
Closing Markets: Corn +1 old & new. Beans -4 old & new. Wheat +5.
It was by a small margin, but corn futures did close higher for the 2nd day in a row. Corn did trade on both sides of unchanged before the uptick at the close. The upside remains limited due to the forecast of comfortable ending stocks and the lack of any threatening weather. Recent rainfall throughout the Midwest has stabilized corn yields and likely added some production potential in some spots. The forecast for cool weather over the next few days is expected to further slow an already slow corn maturing process. There is no real threat of an early frost at this point, but the crop could use some heat as the finish line on crop maturity, at this pace, will put a large percentage crop up against the normal frost dates. The ProFarmer crop tour showed Illinois corn yield at 171bpa, down from 192.6 last year and the USDA figure of 181. They will have an Iowa and Minnesota yield estimate out this afternoon. They will issue an U.S. production number on Friday afternoon. The weekly corn export sales showed old crop sales at 4.7 million bu. and new crop at 11.9 million bu. Total commitments stand at 1.972 billion bu. versus 2.376 billion at this point a year ago. The commitment of traders’ report and the monthly cattle on feed report will be out tomorrow afternoon. The corn chart still shows that a bounce is due, but the upside appears to be limited without some sort of friendly news. The next crop report is not until September 12th.
Soybeans finished weaker by 4 cents despite trading nearly 10 cents higher at one point during the day session. The early strength was tied to China’s presence in the export sales report for both old and new crop. Both sales were relatively small and were probably bought prior to the recent rounds of trade talks. There is still some anticipation that both countries will meet again face to face in September, but there is still no confirmation. Bean exports sales totaled just 1.0 million bu. for the old crop slot in this morning’s report. New crop sales totaled 29.1 million bu. Total bean commitments now stand at 1.786 billion bu. versus the USDA goal of 1.700 billion bu. The ProFarmer crop tour found lower pod counts in Illinois than last year and the average. The pod counts in Iowa have been more varied with the variability and the lack of maturity the main talking points for the participants. President Trump was said to be meeting with the EPA and the Secretary of Ag this afternoon regarding the recent decision to grant RFS waivers to 31 small biorefineries. He has been getting a lot of backlash on the decision from ag groups.
C -47,000 (-); S -99,000 (-4,000); W -41,000 (-); SM -50,000 (-2,000); BO -6,000 (-3,000)
Have a great evening!!!!
Emery Branch Manager/Originator || Topflight Grain Coop
593 Emery Rd.
Maroa, Il 61756
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