TFM Midday Update 08-07-2023

CORN

Private exporters reported 251,460 mt of corn for delivery to Mexico during the 23/24 marketing year.
The weather outlook for the next 10 days has rains mostly in the eastern Midwest and temperatures close to the norm.
Recent heavy rains in China have caused flooding and may have also caused significant crop damage.
Brazil’s harvest of the safrinha crop continues to make progress but is expected to be slowed by rain this week in the southern regions. Brazil export values of corn remain below US, offering resistance to the market.

Private exporters reported 132,000 mt of soybeans for delivery to China during the 23/24 marketing year.
Good rains over the weekend hit the Dakotas, Minnesota, Iowa, Illinois, and Indiana. This is likely what is weighing on soybeans this morning, as higher yields become more probable.
September soybeans on China’s Dalian exchange are near the highest level since February, trading around the equivalent of $18.36 per bushel.
Today the DTN digital yield tour will begin, and traders will soon receive national yield estimates for corn and soybeans.

Wheat is rallying after news that Ukraine bombed two bridges that supply Russian troops. A Russian oil tanker was also struck. These attacks are cause for concern that Russia may retaliate.
Reports of an explosion at a Turkish grain elevator is believed to be an isolated incident not related to the war. It was most likely a grain dust explosion.
On Friday’s WASDE report, there is a chance that the USDA will reduce the spring wheat production estimate after crop ratings declined last week.
There is talk that India’s wheat crop could be below 100 mmt, when it was previously estimated at 105 mmt. India is also believed to be in talks with Russia to purchase 9 mmt of wheat.

Brandon Doherty