This morning corn is down 2 cents and soybeans are down 13 cents. December corn is down nearly 30 cents for the month and Soybeans are down over 75 cents for the month with a week to go.
Pro Farmers tour ended last week and they project the national corn yield to be 177.3 bu/acre +/- 1% (175.5 to 179.1) This compares to the USDA’s August estimate of 178.4. It is interesting to note that Pro Farmer has underestimated the final number 6 years in a row by a range of 120 to 650 million bushels. This would result in a yield of 178.1 to 185.1. Weakness in soybeans and wheat continue to add more pressure to the corn complex.
The US and China trade talks are idle with no new tariffs in place. The lack of Chinese demand and increases in yield estimates for this year’s soybean crop have soybeans trending towards contract lows. As of this morning November soybeans are just 15 cents off the contract lows.
As of Fridays close, funds were short 69k corn contracts and 55k soybean contracts. I look for lower markets this week with month end and the start of new crop contracts just 5 trading days away. Producers with old crop to price have run out of time and should get things priced now. Any new crop sales that will have to be made before the end of the year should be priced now as well. I would advise holding off on pricing any grain that can be stored on farm in hopes of rallies this winter or early next spring.
Have a Safe Day!