TFM Morning Update 8-22-2023

CORN

Corn is trading slightly higher this morning but is quiet as trade seems mostly unfazed by the hot and dry conditions.
Temperatures between the 90’s and 100’s will stretch as far north as South Dakota and Minnesota and as far east as Indiana and Kentucky before cooling off after Thursday.
Yesterday’s crop progress showed good to excellent ratings for corn slipping by one point to 58% with 78% in the dough stage and 4% mature.
The Pro farmer crop tour in South Dakota yesterday saw corn yields averaging 157.4 bpa according to 91 samples taken. Last year, the average was 118.45 bpa.

Soybeans are trading slightly lower this morning and are getting pulled lower by lower soybean oil while soybean meal trades a bit higher.
The USDA kept the good to excellent rating steady at 59% good to excellent which is good considering the heat and dryness lately.
September soybeans on the Dalian exchange hit a new 2023 high today and are trading at the equivalent of $19.82 a bushel. This could explain the recent string of purchases from the US.
The Profarmer tour in South Dakota found an average of 1,013 pods within 3 square foot averages which is only slightly below the 3-year average. In Ohio, the counts came in at 1,049 pods.

All three wheat contracts are trading slightly higher this morning as prices try to find support among the lowest prices of the year.
Yesterday, prices fell after reports came out that Ukraine would be exporting grain through a new humanitarian corridor that hugs the coastline.
Yesterday afternoon, the USDA said that 96% of the winter wheat crop was harvested with work incomplete in Washington, Ohio, and Montana.
39% of the spring wheat crop has been harvested which is below the 5-year average pace of 46%. For what is left, the good to excellent ratings were lowered from 42% to 38%.

Amanda Brill