Good morning,

Happy Halloween!

Corn was lower yesterday and down slightly overnight as seasonal harvest pressure and lasc of fresh news in the export market develops. The markets seem to be spinning their wheels as we end the month.

USDA Deputy Secretary Xochitl Torres Small announced on Tuesday that the USDA is investing $239 million through the “Higher Blends Infrastructure Incentive Program (HBIIP) & the biobased market access and development program to increase biofuel infrastructure to scale up biobased technologies. 39 million dollars is granted towards projects aimed at upgrading fuel pumps, dispensers, and storage tanks to support fuels that require a higher blend rate, such as E85 (85% ethanol/15% gasoline). The other 200 million dollars is coming from the Commodity Credit Corporation (CCC) for a biobased market access and development program. This capital will be used to fund loan guarantees for products that support biobased technologies and increase commercial viability.

Rain has finally fallen in our area. With reports of 2+ inches over the last 12 hours and more chances today, harvest will be on hold for today. Corn harvest nationally came in at 81% completed earlier this week which is up from 65% last week and 68% last year.

Have a Safe Day!

Garry Gard

920-348-6844

ggard@didioninc.com

Good morning,

Markets were slightly higher overnight with corn up 1 and soybeans up 6.

We have seen significant selloff in the last few days in both commodities with corn down close to 30 cents since the first of October. The funds have drastically changed their position in the last five days. They were short 39,000 contracts last Wednesday and are now short 123,000 contracts as of last night’s close.

The national corn harvest was reported at 47% complete as of Sunday night. This is up from 30% last week, 42% last year and 39% for the five-year average. Favorable weather over the next couple weeks should keep things well ahead of pace for the US farmer.

All of Brazil will get rain at one time or another during the next ten days to two weeks.  Some of the rain that arrived in Argentina came too late for some of the wheat across the northern areas and the southern areas will remain dry over the next week. The second week of the forecast does call for precipitation for southern Argentina, needed to boost summer crop plantings.

I expect space to become an issue across the Midwest in the next two weeks as harvest progresses and farmers fill their on farm storage. We entered harvest with the largest stocks since 2020 and the US farmer entered harvest with the largest inventory on farm in the last 20 years. Add to this equation the record yields and you can see where space becomes an issue. Look for basis levels to start widening out as space becomes a premium.

Have a Safe Day!

Garry Gard

920-348-6844

ggard@didioninc.com

Good morning,

Corn and soybeans are unchanged to start the day.

The corn and bean futures have returned to their breakout points, so the next couple of days will be critical to direction moving forward. An unimpeded harvest will likely add hedge pressure for the nest few weeks.

The markets have been supported by the current dryness in South America and Chinese stimulus talks. It looks like the markets may need to find new bullish news as dryness appears to be exiting as moisture is on the way for Brazil. The Chinese stimulus has been a disappointment since they returned from holiday earlier this week which has resulted in the soybean market selloff. There has been a lot of talk and investment around the recent Chinese stimulus that occurred in the past couple of weeks. After coming back from their golden week, more stimulus was thought that could be announced, along with clarification for the exact terms of their currently promised stimulus.

Have a Safe Day!

Garry Gard

920-348-6844

ggard@didioninc.com

Good morning,

Corn is down 3 and soybeans are down 15 to start the day.

Improved chances of rain in South America and harvest selling have the market down this morning.

Argentina saw good rains in the north over the past 24 hours and that action remains this week, and into the 6–10-day period. Brazilian rains remain heavy in the south over the next week, but drier northern areas will start to see better chances for the 6-10 & 11-15 day periods.

Corn harvest advanced from 21% to 30% complete this week, which is in line with 31% last year and the 27% five-year average pace. Soybean harvest rose from 26% to 47% done as of Sunday night, ahead of 37% last year and the 34% 5-year average.

As bean harvest wraps up, producers are turning their attention to corn. There is not an abundance of rain in the forecast, and corn harvest may mirror the fast-paced soybean harvest. The next couple of weeks, basis may hold at elevators that have a lot of space to fill, but once they feel comfortable that they will fill, basis may weaken substantially. The next 3 or 4 weeks, we could see basis possibly weaken as much or more than the futures market. Worst case, the basis and futures succumb at the same time due to harvest pressure.

Have a safe day!

Garry Gard

920-348-6844

ggard@didioninc.com

Good morning,

Dryness in Brazil continues to be a concern as planting remains behind pace and rainfall is forecasted to be behind pace for another 3 weeks. Unlike US farmers, Brazilian farmers want rain during planting season. Argentina is sitting in a similar situation bet despite the rain deficit, Argentina’s crop is 11% planted and only 2% behind the average.

The USDA quarterly stocks report is out this morning, and traders look for both soybean and corn stocks to end up higher than USDA’s September S&D update, indicating a neutral to bearish undertone. My guess is that this report will come in bullish with strong use in both commodities the last couple months.

Check back in after 11:00 for today’s numbers.

Quarterly Grain Stocks (Billion bushels)

Have a Safe Day!

Garry Gard

920-348-6844

ggard@didioninc.com