Good morning!

Our markets are weaker this morning, with soybeans leading the charge lower.  The rumors on beans is that China may be in the process of cancelling up to 5 cargoes of US bean purchases.  This morning in the USDA export sales report, corn sales were pitiful (again), only 25k MT vs an expected 200-350k MT.  Soybean exports were also below expectations, coming in at 526k MT when we were expecting 600-600k MT. 

Informa (private company) will release their production estimates at 10:30 this morning.  The trade is expecting negative numbers (read: bigger crop) on soybeans which is adding to the overall weak feeling in the soybean complex.  Corn production on the other hand feels like it could be a little friendly as early corn yield reports seem low.  The USDA will release their numbers on Wednesday of next week – these numbers will give the market direction as we head into the heart of harvest.

The outside markets aren’t much of an input this morning.  The US jobs report was out, showing we added 96k jobs in August, this is well below the 120-140k that was estimated. 

The 6-10 day forecasts show a warmer, drier pattern which should allow for corn harvest to continue its record pace.  (maps below)

Currently

Corn is down 3 to 5 cents

Soybeans are down 15 to 18 cents

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