Today’s Prices
Grain markets finished mixed today, the weather still looks threatening for the southwestern half of the belt but outside markets in fear of a recession continue to put a damper on the bulls.
Grain Market News
Past 30-Day Precipitation- % of Normal
We see some pockets where we see some good moisture in western Illinois, northeastern Iowa, pars of central Illinois, northern Missouri, and more. So, there are some pockets of good rain and much of that due to the rains from last week.
At the same time, we have dry pockets in portions of southern South Dakota, northern Nebraska, central Minnesota, portions of Iowa, and certainly central Indiana having challenges getting enough rain for maximum corn growth.
The biggest issue has been down in the Delta into the southern plains where heat and dryness is really devastating crops.
U.S. Drought Monitor
Iowa is in pretty good shape for the most part, Illinois is hit and miss, Nebraska dry to the north and east and water to the south and west.
Bottom line is the southern plains down into the delta experiencing drought and then pockets of drought elsewhere.
Drought Monitor Class Change
Last week’s rain did show some benefit in southern Minnesota, northern Illinois, southern Wisconsin, pockets of central Illinois, and portions of Iowa and northeast Indiana.
We also saw drought expanding significantly in the southern plains and Delta.
Current Conditions
Today’s conditions show most of the heat out in the central and southern plains, still warm but not excessively hot in the mid-90s in the Delta.
Today radar shows almost no rain in the US corn and bean belt, there are going to be some scattered showers from time to time.
7-Day Precipitation Forecast
The forecast does show some decent rains from eastern Missouri into southern Illinois, another pocket from Wisconsin into northern Illinois, Ohio, and Indiana.
Th delta into the southern plains is seeing almost no rains.
Temperature Outlook
The 6-10 and the 8-14 day still looking hot for all of the U.S. corn and bean belt.
This heat isn’t a problem in March or April but when you are at the hottest time of the year much above normal temperatures could cause problems for tasseling corn.
Precipitation is below normal for most of the belt, the far eastern belt could see some better rains in both the 6-10 and 8-14.
This forecast is threatening for the U.S. crop due to a large portion of the belt seeing hot and dry conditions.
Grain Market News
Corn: Weekly Export Sales
Corn sales were disappointing at 44 thousand tons. This is not a big time of year for U.S. exports, but it was still somewhat disappointing.
Soybeans: Weekly Export Sales
Soybean sales were very disappointing, a net cancellation of 363 thousand tons.
That’s the second largest week of cancellation, second only to a week back in January of 2019.
We still think that soybeans can reach USDA forecast, but today s total was disappointing.
September Corn Chart
Corn prices overall fairly supportive today.
We were able to trade and close higher on the day so therefore the chart looks good.
Doesn’t look like a breakaway and we certainly feel back sharply off the highs from Sunday and Monday morning.
The chart looks good and enough to keep the technical pointed upward as well.
Corn has chart support at 5.66 and overhead resistance at 6.58.
September Soybean Chart
Soybean prices closed lower today but, on the chart, still holding support.
We did not yet take out last week’s lows, but the chart doesn’t look overly impressive.
Today’s lower close caused the technical indicators to be pointed lower.
Chart support is down around the $13 level with overhead resistance around the $14 range.
September KC Wheat Chart
Wheat prices shows new lows made for this move and we are now testing the lows from last week at 8.32 with todays close at 8.48.
That low would be fairly significant chart support with overhead resistance around the $10 level.
Questions or Comments
