Tighter supplies add support to grain prices. The USDA report last week made significant changes to the commodity landscape. The report shocked the market with a much larger than expected drop in the national corn yield. USDA lowered yield expectations from trendline 179.5 bpa dropping the August estimate to 174.6 bpa. This lowers production, falling from 15.165 billion bushels to 14.75 billion bushels. Ending stocks fell from 1.432 billion bushels in July to 1.242 billion bushels.
Soybean yield estimates were lowered from 50.8 bpa to 50 bpa. Production estimates came in at 4.439 billion bushels, 66 million bushels lower than July. Ending stocks reported 155 million bushels which is historically tight domestic stocks. Soybean condition declined in this week’s report implying a yield at 49,4 bpa.
Wheat prices have gained momentum after the report revealed declining production in the U.S., Russia, Europe and Canada. All wheat yields were lowered by 1.3 bpa to yield 44.5 bpa. Ending stocks fell 38 million bushels to 627 million bushels. Higher wheat prices could mean more wheat acres planted at the expense of corn and beans.
We are excited to announce a new platform, Barchart, for getting our bids texted to you. During the conversion some people may have been missed getting added to the new platform. Please use the link below to sign up for daily bids for your location to continue getting the bids.
As we get closer to harvest, please reach out to your grain market specialist to help you make marketing and storage decisions. We are here for all your marketing needs.
Have a great day!
Keep the faith and stay safe!
Judy Uhlenhake