TFM Morning Update 07-06-2023

CORN

Corn is beginning the day higher but is still near its lowest prices of the year after the USDA estimated 94.1 million acres planted.
Rains are currently falling in southern Kansas and the Oklahoma Panhandle and the rains are expected to move east over the Corn Belt in the next five days.
Areas North of the Corn Belt are expected to remain drier, but temperatures will also be lower giving some relief.
Brazil has reportedly harvested 20% of their second crop corn and based on yield data, analysts raised production estimates again.

Soybeans are trading slightly higher this morning apart from the front month which is lower, while soybean meal trades higher and soybean oil is lower.
The rains falling in Kansas are forecast to move into the southern Midwest and are expected to miss most of Missouri, but the 6 to 10 day forecast looks wet for the central Corn Belt.
The USDA’s forecast for 83.5 million acres of beans has kept prices elevated, and next week’s WASDE will likely add to the bullishness with a small ending stocks number.
Exports have been poor with Brazil keeping a firm grasp on the competition, but US soybeans are getting support from renewed soybean oil demand.

Wheat is mixed this morning with Chicago lower bur KC and Minn higher as rain in Kansas is expected to delay harvest for another couple of days.
Russia attacked the city of Lviv overnight and Ukrainian forces have said that Russia is making slow progress in taking back eastern Ukraine.
Russia’s wheat crop estimates were raised by 2.5 mmt and are now at 85.7 mmt on goods weather.
The French 2023 soft wheat yield is seen at 5% above the 10-year average and was helped by good sowing conditions and frequent rains in early spring.

Amanda Brill