Overnight corn and wheat were up 2 and soybeans were up 1.
It feels like the markets are in the pre-report ‘wait and see’ mode ahead of tomorrow’s report. Pre report estimates are listed below. There will be a lot of data to digest tomorrow so it is hard to say what is the most important. Acres are likely to change one way or another from tomorrows estimate so they may not carry as much weight as Stocks. It doesn’t take much prevent plant to tighten the balance sheets and with snowpack in the northern plains we may see more than the trade is expecting. March 1st stocks will be my focus as I look to see what the producer has moved over the last few months as prices have been historically decent but declining due to the lack of demand.
US Planted Acres (million acres)
|March 30th||Average Estimate||USDA 2022|
March 1 Stocks (million bushels)
|March 30th||Average Estimate||USDA March 2022||USDA Dec. 2022|
Report days can be quiet or very volatile for the markets. I have seen many report days where the market spikes higher or lower for a short period following the release of numbers only to trade back to unchanged once traders have digested the numbers. My advice heading into the report is to have any old crop sold that you need to move over the next couple months and have 25-40% of your new crop sold. With current old crop prices in the $6.40-$6.50 range and new crop prices in the 5.50-5.70 range there is money to be made, don’t miss out. In addition to sales, be sure to have firm offers in with your buyers to capture any short spike we may see. Give us a call today to discuss!
Have a Safe Day!