4/12/2022

Apr 12, 2022


4/12/2022
It’s that time of year when the market begins paying close attention to U.S. planting progress.  We have very little room for error with this year's crop and the weekly report showed that U.S. corn planting did not advance from the previous week's report.  Corn planting progress in the U.S. remained at 2% complete (4% year ago, 3% avg.)  Spring wheat planting was seen at 6% complete (3% week prior, 10% year ago, 5% avg).  The winter wheat condition was rated at 32% good/excellent, a slight improvement but well behind last year's 53% g/e on the same week.  There are large amounts of precipitation forecasted for the winter wheat areas this week.  The USDA does not report planting progress for soybeans this early.  Weather outlooks for 10-14 days still show below average temperatures but with today's standard equipment including 300+ horsepower tractors taking 60–90-foot planter passes near 10 mph; the crop will get planted fast once it's fit to go.  It's always "buy the rumor, sell the fact."  The U.S. Department of Labor said the Consumer Price Index jumped 8.5% in March from 12 months earlier.  This largest year-over-year increase since 1981.  Inflation also rose 1.2% February to March. 

Highest close on a July corn contract since September of 2012.
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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.