Soybean Planting Behind Historical Average

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Includes: CORN, DBA, SOYB, WEAT
by: T. Marc Schober

Summary

The USDA estimated corn emergence at 84% across the U.S. as of June 7th, a 7% increase from the prior week and 1% ahead of the five-year average.

The soybean crop was reported 79% planted, an 8% increase from last week, but 2% behind the five-year average.

The USDA estimated winter wheat conditions at 45% “Excellent” or “Good,” a 1% decrease from last week, but a 13% increase from last year.

Early this spring, soybean planting progress was off to a ferocious start, but persistent rain for the past month caused farmers to lose their lead on the five-year average. Now, as the planting window comes to a close, farmers are being forced to plant in less than ideal conditions. Crop conditions remain positive for corn this week, but the first soybean condition estimates are lower compared to last year.

The USDA estimated corn emergence at 84% across the U.S. as of June 7th, a 7% increase from the prior week and 1% ahead of the five-year average. Of the five largest corn producing states in the U.S., Minnesota reported the highest level of emergence at 98%, followed by Illinois and Iowa at 96%.

Corn crop conditions were reported at 74% as "Excellent" or "Good," unchanged from last week, but a 1% decrease from last year. 22% of the crop was reported as "Fair," unchanged from last week, but a 1% increase from last year, while only 4% was rated as "Poor" or "Very Poor."

The soybean crop was reported 79% planted, an 8% increase from last week but 2% behind the five-year average. Of the five largest soybean producing states, Minnesota has reported the highest level of completion at 97%, followed by Indiana at 89% and Illinois and Iowa at 88%. Farmers have struggled completing the 2015 planting season as wet weather has persisted for the past month.

Soybean emergence was reported at 64%, a 15% increase from last week and 1% ahead of the five-year average. Of the five largest soybean producing states, Minnesota reported the most emergence at 88%, followed Illinois and Iowa at 77% and 71%, respectively.

The USDA reported soybean crop conditions for the first time this week. 69% was rated "Excellent" or "Good," a 5% decrease from last year. 26% of the crop was rated as "Fair," a 4% increase from last year, while only 5% of the crop was rated as "Poor" or "Very Poor".

Winter wheat harvest also was reported for the first time this week. 4% of the crop was reported harvested, a 4% decline from last year and 8% behind the five-year average. Those states reporting harvested acres are all from southern growing areas, northern growing areas still have several weeks before their harvest will begin.

The USDA estimated winter wheat conditions at 45% "Excellent" or "Good," a 1% decrease from last week, but a 13% increase from last year. Also, 37% was rated "Fair," a 1% increase last week. 20% was rated "Poor" or "Very Poor," unchanged from last week, but a 24% decrease from last year.

Spring wheat emergence was reported 97% emerged, a 6% increase from last week and a 19% increase from the five-year average. Spring wheat conditions were reported at 69% "Excellent" or "Good," a 2% decrease from last week. 26% was rated "Fair," a 1% increase from last week, and 4% was rated "Poor" or "Very Poor."

July futures for corn closed the week at $3.65 per bushel, a 3.7% increase from last week. July soybeans ended the week at $9.44, a 1.9% increase from last week, and July wheat ended the week at $5.28, a 7.1% increase from last week. Year-to-year corn prices are down 19.1%, soybeans are down 39.4%, and wheat is down 13.7%.

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.