Markets are slightly higher this morning with corn up 3 and soybeans up 6. Yesterday’s announcement by pharmaceutical company Pfizer that it had a vaccine with early data showing it to be 90% effecive3 at preventing the coronavirus is giving the market hope that we may sometime in 2021 return to more normalcy.
The U.S. Corn harvest was reported at 91% complete (trade estimate 91%) versus 82% last week and 80% average. The U.S. Soybean harvest was reported at 92% complete (trade estimate 94%) versus 87% last week and 90% average.
USDA is scheduled to release its monthly WASDE crop report at Noon EST today, including revisions to its domestic and global supply and demand balance sheets. The average trade guesses that are factored into the market include a 0.7-bushel drop in the corn yield to 177.7 bushels per acre and a 0.3-bushel decline in the soybean yield to 51.6 bpa. The greater focus of the trade will be on a) potential upward adjustments in USDA’s corn and soybean export forecasts, b) possible reductions South American corn and soybean production estimates due to early-season dryness and c) a potential increase in China’s corn import target after the USDA attaché in China recently raised his estimate of Chinese imports to 22 million metric tons.
USDA 2020/21 Corn and Soybean Production (billion bu)
|November Est.||Average Est.||October Est|
USDA 2020/21 US grain and soybean ending stocks (billion bu)
|November Est.||Average Est.||October Est.|
Have a Safe Day!