Good morning!

Our markets are (finally) taking a breather so far this morning as corn, soybeans and wheat are all weaker across the board.  Yesterday the USDA’s crop conditions report showed that the crops continue to decline, but this was mostly expected and likely built into the market as the trade overnight appeared to have a “buy the rumor sell the fact” type of action from the start. 

The weather forecasts do look a tad wetter today than they did yesterday, pushing a few rains further North into the Eastern corn belt.  All of this is giving us a weaker start to the day.

Remember, tomorrow morning is the USDA’s July S&D report.  The trade is expecting sharp declines in both corn and bean production.  Here are some average trade estimates for that:

·       Corn

o   Yield of 154.1 (previously 166)

o   11/12 ending stocks of 840mb (previous 851mb)

o   12/13 ending stocks of 1.231bb (previous 1.881)

·       Soybeans

o   Yield of 42.3 (previous 43.9)

o   11/12 ending stocks of 170mb (previous 175mb)

o   12/13 ending stocks of 134mb (previous 140mb)

Currently

Corn is down 12 to 15 cents

Soybeans are down 14 to 17 cents

http://www.fccoop.com/markets/information.cfm

5 day QPF map: (the QPF is based purely on raw data, not a meteorologist’s forecast)