11/16/2020

Nov 16, 2020


11/16/2020
NOPA October soybean crush jumps to a record-high 185.245 million bushels, which is a massive number.  Beans were trading unchanged when that number came out and we managed to finish up a nickel.  There were no new export sales announced today, but China is rumored to be looking for April/May corn.  Rail freight has fell flat on its face the past couple weeks and has the nearby trading at slight unders.  The BNSF running 150 grain shuttles might have something to do with that.  Weekend rail performance was poor, so we will see what that means for values this week.  Grain bids on the rail have nearly disappeared for both corn and beans as new purchases have dried up as of late.  The exporter feels more than covered for the time being and waiting for that next round of business to show up before they try to buy more.  Farmer selling has really slowed down, which is getting the processors to start to perk their bids and become competitive with the export markets.  Corn and beans will be hard to buy the balance of this calendar year, so basis will likely continue to improve slowly.  There was another announcement by the U.S. pharmaceutical company Moderna that their Covid vaccine is ready and 94.5% effective, which is helping the outside markets as well today.
 

Read More News

Aug 15, 2025
Corn and beans both had nice gains heading into the weekend.  Corn might seem terrible as of late, but for corn to only be down 2 cents since report day is impressive.  That was one of the most bearish reports for corn we have seen in quite some time.  Corn finished the week 13 cents off its lows and unchanged for the week.  New crop corn basis has softened a little on the week as the extra 2 million acres and 8 bushels of yield from the report has also scared a few exporters off. 
Aug 12, 2025
The USDA report today didn't treat the corn market very well.  Both corn acres and yield were higher the result has corn carryout over 2.1 billion bushels.  Corn yield was pegged at 188.8 bpa vs an estimate of 184.29 bpa.  How high is 188.8?  Well…the previous record was 179.3.  Planted corn acres were put at 97.3 million.  Total corn production is estimated at 16.742 billion bushels, which is 763 million more than the report estimates.
May 12, 2025
News broke Sunday that the USA and China have agreed to ease tensions and lower tariffs.  The US is lowering tariffs on Chinese goods from 145% to 30%.  China is lowering their import tariffs from 125% to 10%.  Talks will resume in the coming weeks.  This news had stocks, grains and oil higher overnight. Then of course we had a USDA grain report come out at 11:00 this morning.  That was also a bit friendly.