Morning Comments August 13, 2018
Monday, August 13, 2018, 8:08 AM
Submitted by: Landus Cooperative
Corn – 3 to 5
Beans – 8 to 10.
Grain markets continue to feel the pressure from the sharp losses we saw on Friday after the USDA WASDE report came out at 11 a.m. where we saw record yield projections for both corn and soybeans and growing stocks. At the break this morning December corn is down a nickel and November soybeans are down a dime.
The overall weather outlook looks non-threatening. Numerous rains are in the forecast over the next 10 days, bringing average to above average rainfall to most of the Midwest. Temperatures will be running close to average. The 11-16 day forecast on the other hand is suggesting a warmer and drier trend for the northern Plains, while the Midwest and southern Plains are expected to have normal temps and precipitation.
It's Monday, so another Crop Progress Report is upon us. Ratings are expected to stay steady to down 1-2% from last week's 71% good to excellent on corn and 67% good to excellent on soybeans.
An interesting news wire came across this morning that a U.S. vessels with soybeans has been unloading in China at the port of Dalian, becoming one of the first shipments to incur new import tariffs, but it was a better option for the seller than other alternatives.
The U.S. dollar is firmer today, making new highs for the move following sharp gains on Friday. The stronger dollar is weighing on energies and precious metals.
In some areas we may be able to argue with the USDA's yield predictions, but that is what the trade is making their marketing decisions off of and we need to follow suit. We have to be prepared that the market won't make any miracle recovery and have a plan in place in case this happens. Landus Cooperative offers some great marketing alternatives that can help you and your operation weather the storm of poor prices.
Thank you, have a great day!