Good Morning,
Markets are softer again this morning with both corn and soybeans down 1. Traders are waiting on Thursdays WASDE and Production reports. Private analysts are expecting to see a 1.8 bu/acre(167.5) cut in corn yield and 400,000 acre(81.6) cut in harvested acres. The USDA has historically saved its big harvested acre cuts for October as they become more confident in the completeness of the FSA certified acreage reporting process. I don’t expect any big yield reductions on Thursday as harvest progress has not advanced enough to justify big adjustments.
Tensions between the US and China are rising just as trade talks are scheduled to begin. China is indicating this morning that they are already planning to leave the talks one day early. This could be the backlash in response to the Commerce Departments move. The Commerce Department on Monday put a number of Chinese entities, including surveillance technology company Hikvision on an export blacklist that prohibits American firms from doing business with them unless they have a US government license to do so.
If you are a producer that historically stores grain at your local elevator you should give us a call to find out how we can add $ dollars $ to your bottom line with our storage alternative.
Be sure to get your firm offers in with us before Thursday’s crop report. I look for this one to spike when the report is released and then fade into the close.
Have a Safe Day!
Garry Gard
920-348-6844
ggard@didionmilling.com
