Good morning!

Our markets are lower this morning on little news, with us having no markets Monday this almost feels like a Turnaround Tuesday.  Crop progress reports were out last night showing US corn harvest coming along at a record pace (expectedly so).  Even though some Delta harvest will be slowed due to the hurricane – we should continue to harvest corn at a record clip.    

One week from today is the USDA S&D report.  Throughout the day today we will hear different private analysts’ guesses on this report.  For example, Allendale came out already, pegging the corn yield at 118.2 bpa (10.326bb production).  Their bean yield was 34.9 bpa (2.602bb production).  None of these private numbers are true ‘market movers’ but they are all interesting to read. 

The deferred months in soybeans all rallied yesterday on stories about Brazil’s soybean planting issues (too dry, waiting for moisture) - it is extremely early to be concerned on that.  There are private forecasters showing Brazilian soybean production up 24% from last year!  This is an example of high prices curing high prices.  This huge crop in South America is an essential piece to the marketing puzzle as China is expected to flip-flop their imports from the US to SA as soon as the beans are available in Feb/March (hence the historically massive inverse in beans from Fall to Spring). 

Currently

Corn is down 3 to 5 cents

Soybeans are down 3 to 5 cents

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