While market bears are enjoying the last two days of corn trade, even many of them were not expecting the numbers issued by USDA on Friday. Prices fell precipitously as Acreage estimates for corn and soybeans were adjusted outside of private expectations. A quick snapshot of these expectations and results are shown below. Acreage Report Corn: 91.7 million acre...
Learn MoreThe USDA issued two major reports today as we close the 2nd quarter. One report was very near to the average expectation. It was the Quarterly Grain Stocks Report. As it was, the report was released as follows: Quarterly Grain Stocks as of June 1st Corn: 5.2 Billion Bushels vs. 5.33 bbu estimated Beans: 1.79 Billi...
Learn MoreThere is much discussion about the future of the corn market. From the bottom up, prices have now run $1.21 to a peak of $4.64 in the July contract. People from all walks have gone back to the closet to find their old set of bull horns. Buried behind a few boxes of FSA paperwork, stacks of equipment manuals, and some long lost 4-H trophies, they find it collecting dust. Now...
Learn MoreThe momentum continues. Last week we saw corn post new contract highs and it has yet to look back. Corn has now entered into territory not explored since the summer of 2014 when we were still recovering from the drought of 2012. Last week's WASDE report saw the single largest drop in estiamted US ending stocks from 2.485 billion bushels to 1.675 billion bushels. The drop in...
Learn MoreThe USDA shocked the market with an unprecedented move to reduce corn planted acres (by 3 million) in the June WASDE report. This is unprecedented because the June Acreage report is just three weeks away and any changes to their March estimate is generally adjusted then. But times such as these call for such action. Soybean and wheat balance sheets saw little by way of cha...
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