We have opened the day weaker as traders’ position for the 11am report. Corn is currently down 5 and soybeans are down 12.
The USDA will release their August WASDE report at 11am this morning. Estimates are listed below. The FSA will also be reporting acres and program participation on their website at 12 today.
2021/22 USDA Yield (Bu/acre)
2021/22 USDA Production (bln bu)
2020/21 USDA Carryout (bln bu)
2021/22 USDA Carryout (bln bu)
We have no idea what the USDA will do as far as yields go today. They did not go out into the fields for this Report; surveys and satellite imagery were used to estimate yields. (Personally I think this technology may be more accurate than actual field checks because it covers the whole field.) If heat figures into their models at all, the yield trend should be down today. They may not move the needle very far and take a wait and see approach with actual field results.
Tropical Storm Fred is expected to make landfall in Florida this weekend. The models are inflating a little with some more rainfall into the Midwest this morning. The lower Midwest has some heavier totals showing up into the Dakota’s and Canada. It’s still going to be hot out West, but most of it is out beyond Iowa and Illinois.
Basis levels on old crop corn have been crumbling the last few days as end users are covered and new crop is on the doorstep. Anyone that is sitting on old crop corn may have missed the boat on great prices but can and should take advantage of prices that may still have a 6 in front of them before they are gone.
Check back after 11 for today’s numbers.
Have a safe day!