TFM Morning Update 08-23-2024

CORN

Corn is mixed this morning with the two front months trading slightly higher and deferred months lower in quiet trade following yesterday’s sell-off. December futures are in the middle of their recent trading range Which is between $3.90 and $4.00.
The ProFarmer crop tour yields have been coming in and showing good yields albeit slightly below the USDA estimates. The tour has estimated Ohio at 183.3 bpa, Indiana 187.5, and Illinois at 204.1. Minnesota and Iowa results will be released today.
A bearish piece of news that impacted yesterday’s trade was rumors of an embargo of shuttle freight into Mexico from the US due to poor rail logistics in Mexico which has kept freight from returning on a timely basis.

Soybeans are trading slightly higher this morning as prices attempt to recover from yesterday’s sharp sell-off that was caused by large pod counts found on the crop tour as well as improving weather forecasts. Soybean meal is lower while soybean oil is trading higher.
The crop tour has found solid soybean yields so far with pod counts in Iowa at 1,312.3 pods in a 3 by 3 foot square which compares to the 3-year average of 1,194.2. In Minnesota, counts of 1,036.6 were found which compares to the 3-year average of 1,037.7.
Barge shipments on the Mississippi River have fallen as barge rates have increased and as a result, soybean shipments are down 42% week over week.

All three wheat classes are trading lower this morning after all three made new contract lows yesterday. Pressure has come from US harvest and reports that the Russian wheat crop will be larger than initially expected.
Spring wheat harvest was 31% complete as of Sunday, this is 5% slower than the average pace. Conditions ratings in the two largest producers, North Dakota and Minnesota remain high at 78% and 87% good to excellent, respectively.
Yesterday’s export sales showed an increase of 18.1 million bushels of wheat export sales for 24/25 and the top buyer of wheat the Philippines with 116k tons. Following that was Mexico at 110.5 k and Vietnam by 85.0k tons.

Amanda Brill