Morning Comments July 9, 2018
Monday, July 9, 2018, 8:07 AM
Submitted by: Landus Cooperative
Corn -4 to 5
Beans -9 to 10
Grains are trading lower this morning with nearby corn down 5 cents and beans 10 cents lower. Funds gained some traction on Friday as we saw them buying into the markets after being consecutively lower. The USDA will release its updated production estimates on Thursday. An increase in new crop corn and soybean ending stocks is expected. The average trade estimate for the report has corn production at 14.269 billion bushels vs. USDA June estimate of 14.040. Yield is pegged at 174.9 bpa vs. USDA June estimate of 174.0. Soybean production is estimated at 4.314 billion vs. USDA June estimate of 4.280 billion. Yield is pegged at 48.6 bpa vs. 48.5 bpa in June. USDA has said that they will be incorporating tariff impacts in their data this month.
A more moderate weather forecast for the last half of July is also pressuring markets. Headlines for any trade news between the US and China will still matter.