The long awaited USDA Prospective Plantings report was released this morning.
Audio: Jim Hemminger
That’s Jim Hemminger with Top Third Ag Marketing. In preparation for the report Hemminger says the corn market sold off 57-cents from last Friday’s high to yesterday’s low. That was in anticipation that corn acreage in the western corn belt was previously understated. The report did show a slight increase in corn acres which would typically lead prices to the down side,
Audio: Jim Hemminger 2
Which Hemminger says was neutral to slightly negative. The fact there is already a very tight carryover corn situation sent the nearby corn out of the gate this morning to limit up numbers despite the slight increase in anticipated corn acres.
USDA’s soybean acreage, at 76.61 million, is within pre-report trade estimates but slightly below average expectations.
Following the morning release of the Prospective Plantings report the Chicago Board of Trade jumped into action at the opening bell. Corn quickly moved limit up across the pit. Soybean contracts remained strong throughout the session with November closing 30-cents higher at $13.93. Wheat contracts in Kansas City and Chicago closed the day 31 to 44 cents higher.