Market recap (changes on week):
- September corn up $.19 at $6.27
- December corn up $.21 at $6.28
- September soybeans up $.27 at $14.91
- November soybeans up $.11 at $14.11
- September soybean oil up 3.79 cents at 69.14 cents/lb
- September soybean meal up $16.60 at $453
- September wheat up $.29 at $8.08
- July wheat up $.17 at $8.47
Weekly Highlights:
- The consumer price index last week came in at 8.5% year over year and was flat compared to June. Economists had anticipated a slight increase.
- US weekly ethanol production came down 21 thousand barrels per day last week (roughly 6.1 million gallons on the week).
- Export sales last week were a little better for corn and wheat but net negative for soybeans and grain sorghum. Both old and new crop export sales are dragging heading into the final weeks of the marketing year.
- Open interest for Chicago soybeans increased 2% while Chicago corn was down 2% and wheat was basically flat on the week. Managed money traders also added net long 6.28contracts across the three commodities leading to a shrinkage of the net short in Chicago wheat, and expansion of net longs for Chicago corn and soybeans for the second straight week.
- Brazil’s CONAB released estimates that their 2021/22 corn production is estimated at 114.691 million metric tons compared to 87.4 million tons last year but slightly down from their previous crop forecast.
- USDA lowered the US average corn yield 1.6 bushels per acre in Friday’s monthly supply and demand report while increasing soybean yield 0.4 bushels per acre. There was also a revision of 100,000 fewer wheat acres, 100,000 fewer corn acres and 300,000 fewer soybean acres in the upper plains to the June acreage report. None of this was a surprise.
- Weekly grain export inspections were down week over week across the board. With two weeks left in the corn and soybean marketing year- corn sits 6% below the seasonal pace to hit USDA’s 2,450-million-bushel export target while soybeans are 1% higher that their pace needed.
- The National Oilseed Processors Association reported their members crushed 170.2 million bushels in July- coming in below the 171.5 the trade was expecting but above last month and July of 2021.
- National corn conditions rating fell another 1% on the good to excellent condition rating to 57% last week compared to a historical average of 63%.
- National soybean good to excellent ratings also fell 1% to 58% compared to the three-year average of 61%.
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