Closing Market Comments July 28, 2022

Today’s Prices

Grain markets had a nice, strong day.

Grain Market News

Corn Export Sales

Corn export sales were at 150 thousand metric tons, down a little from what was needed at 272.

Looking down the road because of our export sales and our shipment pace we may need to reduce the amount of exports for corn down the road.

Soybean Export Sales

Soybean export sales had a net 59 thousand metric ton cancellation.

Currently we have sold more than what we needed to but the shipment pace on soybeans is a concern.

Drought Monitor Class Change

Areas in grey there was no change compared to one week ago, areas in yellow means they had drought intensify and get worse, and the green areas had drought improve.  

Temperature Outlook

The 6-10 day is still looking at above normal temperatures across most of the corn production areas with below normal precipitation.

As we move out to the 8-14 day, we also can see that is still hanging around.

7-Day Precipitation Forecast

The ridge has moved south over time, this is bringing some heavy and even flooding rains.

This rain may be coming in to late to help some of the crops that have been stressed.

Seasonal Drought Outlook

You’ll notice in some of these areas that have missed out on rain that these areas are going to have warmer and dryer conditions over the next couple weeks causing intensifying drought conditions.

Corn Areas in Drought

According to the U.S. drought monitor we are at 29% of the U.S. corn crop in drought conditions.

Corn States in Drought

Nebraska is at 67% of corn crop in drought conditions with 12% of the corn in Nebraska sitting in the extreme drought conditions.

Iowa is at 22% of crops in drought, South Dakota at 23%, and Missouri at 27% but the moisture coming through may help there.

% Of US Corn in Drought Compared to Past Years

Comparing to past years we are at 29% this year and going back to a year ago we were at 36% of the U.S. corn crop in drought.

Extreme drought conditions are at 6% US corn crop and last year we were at 4%.

September Corn Chart

Corn had a nice trade day going up to 6.21 and you’ll notice it came up against our 200-day moving average.

Our next level of resistance would be at 6.23, then to our 40-day moving average at 6.48, and then 6.58.

We believe on the corn crop that the market will continue to work higher if the weather forecast stays hot and dry.

September Soybean Chart

Soybeans trade up to 14.46 and we traded through the 40-day moving average.

Resistance would be at 14.72 and if we break through that we will be at 15.07.

September KC Wheat Chart

Wheat prices traded higher today and lower yesterday.

We are coming right up against the down trending line of resistance.

9.98 will be our next resistance if we break through this overhead.

Questions or Comments