Market upside challenged by unsold 2024 crop

By Jon Scheve, Superior Feed Ingredients, LLC

Last week’s USDA report showed a corn yield estimate higher than what the trade was anticipating. However, the market’s reactions after the report suggest the trade doesn’t believe the yield increase. 

Early harvest results

Drier areas of Nebraska and Ohio could suggest the national yield could go even higher in future reports. Many farmers in those areas have told me that fields with less than 1 inch of rain in the last 6 weeks are producing much better than expected. Most are telling me that early harvest yields indicate they have near or slightly above trendline yields.

Is the year’s low in?

Some market participants are suggesting that the market’s bullish reaction on Thursday Sept. 12 and Friday Sept. 13 to the bearish corn report could mean the lows for the year happened on Aug. 27 at $3.85. While we won’t know for sure if that is the case for several months, it’s certainly possible. One… Continue reading