Seeking Alpha
What is your profession? ×
Commodities, value, long-term horizon
Profile| Send Message|
( followers)

Summary

  • The USDA corn conditions were estimated 73% in “Good” or “Excellent” condition.
  • Soybean conditions were reported with 70% of the crop in “Good” or “Excellent” condition.
  • The winter wheat crop was reported 95% harvested.

The World Agriculture Supply and Demand Estimates (WASDE) will be released tomorrow by the USDA. Most analysts expect a continued sense of optimism over this year's production for corn and soybeans. Analysts are estimating a 1.6%-5.7% increase in corn yield, and a 5.3% decrease to a 4% increase in soybean yield from the July report.

The USDA corn conditions were estimated 73% in "Good" or "Excellent" condition, unchanged from last week, but a 9% increase from last year. 20% was considered "Fair," unchanged from last week, while only 7% was considered "Poor" or "Very Poor." Of the Corn Belt states, Illinois had the most corn rated "Excellent" at 30%, followed by Iowa and Indiana with 25% and 21%, respectively. Corn silking was reported at 96%, a 6% increase from last week and 1% ahead of the five-year average. Corn doughing was reported at 54%, an 18% increase from last week and 8% ahead of the five-year average. Corn dented was reported by the USDA for the first time this week. 11% of the corn crop was reported dented, 6% ahead of this time last year, but 5% behind the five-year average. Northern corn producing states have yet to report any denting due to the delay seen during planting this year.

Soybean conditions were reported with 70% of the crop in "Good" or "Excellent" condition, down 1% from last week from last week, but a 6% increase from last year. 23% was reported in "Fair" condition, unchanged from the previous week, while only 7% was reported as "Poor" or "Very Poor." Of the five largest soybean producing states, Illinois and Iowa had the most crop rated "Excellent" both with 22%. Soybeans blooming were reported at 92% this week, up 7% from last week, and 1% ahead of the five-year average. Soybeans setting pods were reported at 72%, a 15% increase from last week and 7% ahead of the five-year average. Of the five largest soybean producing states Indiana and Nebraska had the most soybeans setting pods, both at 80%.

The winter wheat crop was reported 95% harvested, up 5% from last week, and 5% ahead of the five-year average. The wheat harvest is near completion as the northern producing states have made up significant ground over the last week.

September futures for corn closed the week at $3.56 per bushel, a 0.6% decrease from last week. August soybeans ended the week at $13.14, a 6.7% increase from last week. September wheat ended the week at $5.46, a 0.4% decrease from last week. Year-to-year corn prices are down 24.6%, soybeans are down 4.5%, and wheat is down 14%.

Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it. The author has no business relationship with any company whose stock is mentioned in this article.