Grain > Commentary > 6-6-2023

6/6/2023

Jun 06, 2023

Corn and soybeans began overnight trade immediately higher, triggered by the USDA putting out some lower-than-expected crop ratings.  The U.S. corn crop is currently rated at 64% good/excellent, trade was looking for a 67% rating (69% last week, 73% year ago).  Probably the most notable drop in conditions was across the I-states with Illinois -19% g/e, Indiana -10% g/e, and Iowa -5%.  The initial rating for the soybean crop came in at 62% good/excellent with trade expecting a 65% rating.  Corn and soybeans did flip back and forth between higher and lower a couple times throughout the session before finding solid footing in 3-5 cent higher trade shortly after the mid-day point.  Some strong spread action with July corn finishing the day up 10 cents.  The USDA announced the sale of 165,000 tonnes of soybeans for delivery to Spain during the 2022/23 marketing year.  Some are guessing that this could be a result of Brazil's large lineup due to shipping delays.

rainfall.png

Read More News

8/21/2025
Aug 21, 2025
Today the market ran higher on rumors for positive SRE announcements coming soon.  Bean oil was up over $2.  Beans finished the day up 20 cents at 10.56 Nov futures.  There is a chance we could make a run at the 10.74 Nov highs from back in June.  If we get there, I am a seller.  Bean basis remains in the garbage, so a run higher in futures doesn't help that either.  We still don't have a trade deal, so I think any rally is short lived at this time. 
8/15/2025
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. 
8/12/2025
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.