Good Morning!
It’s a hot one this week. With temps in the high-90s all week, this corn is going to come along quickly. We chopped some silage last week, and we’re typically three weeks later on picking some dry-ish corn. Given the weather, I’d imagine we’ll be rolling by next weekend. I’ve been in my corn with my seed man this week, and it looks like we have some solid corn and beans around home. Maybe we won’t see records, but we should have APH or above. We have several acres of beans turning, so in a couple of weeks, we may be running on those as well. This past weekend we had my nephew’s wedding, and the whole crew is still in the house. While I haven’t been getting as much sleep as usual, it’s been great spending time with the kids. If you get started in the field, let me know how it’s going-I sure appreciate getting some yield info here and there. For more on AgMarket, click here. https://hubs.li/Q03qt2Qd0
The markets on Monday showed strength at times with a quiet close, while Tuesday featured big buying again. With crop ratings steady to a shade lower, funds see the heat we’re going to finish with and likely are adding to longs, wondering if the crop could shrink a bit. Outside markets likely had a mixed impact:
Corn – The corn market closed quietly on Monday but rallied on Tuesday. December corn closed up 8 ¼ at $5.46. This was 2 off the high and 11 ¾ off the low. Corn export inspections were above expectations at 1.496 mmt. These shipments rebounded from a lower number last week, highlighting strong shipping remains. The crop ratings stayed at 57% good/excellent, well below the 69% from a year ago. The trade is no doubt convinced this corn crop is sub-180. With funds continuing to buy corn, we’re seeing prices move closer to a $6 handle than most assumed we’d see. The opportunities to price some corn on this rally seems too good to pass up. At the same time, there’s no doubt prices could go substantially higher if the US crop is closer to ProFarmer than USDA and/or the South American crop has problems. The best bet once again is to spread risk out by selling incrementally at levels you can pencil in a profit. The Dec27 corn settled up 6 ¾ at $5.36 ¼.
Soybeans – Soybeans settled without much fanfare on Monday before big buying came in on Tuesday. November beans settled up 29 ¾ at $13.17 ¾. This was 2 ¾ off the high and 27 ¾ off the low. October soybean meal was up 7.1 at 345.7, while soy oil was up 1.87 at 72.45. Weekly inspections showed bean shipments at 251k mt, a drop from a week ago levels. The bean crop was rated 58% good/excellent, declining 1%. The bean crop a year ago was rated 65% g/e. The big news on Monday wasn’t the ratings but more along the lines of the EPAs small-refinery announcements. While granting 1.76 billion RINs of exemptions to small refineries, they also re-allocated all of the RINs to the 2026-27 volumes. This essentially is kicking the can down the road and can result in more of the same in a year. What perplexes many in and around the trade is how much money refineries are said to be making here in 2026. Regardless, the news seemed neutral heading into Monday night’s trade-while it appeared the funds didn’t slow down their buying one bit. With most feeling the US crop is smaller than a year ago with lower pod counts, the potential weather issues out of South America are likely on the trades’ mind as well. As with corn, making a sale at these levels is hard to argue with, especially for those who need to get caught up. Nov27 beans settled at $12.60, up 11 ½.
Matt Bennett
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