Market Report: Maybe Corn and Beans Are Low Enough?

Corn managed to gain about a penny Monday. Maybe at least for the time being traders think corn is low enough. At least until Friday's August Supply Demand Report from the USDA. In the July report, the USDA estimated the national yield at 168 bushels an acre. Some traders think it will be raised to 175 bushels an acre. Others are saying the weather has been less than ideal and maybe the USDA will not increase the yield estimate Friday. Export loadings came in yet again with a huge number at 57.2 million bushels. Last year for the same week it was 32.2 million bushels.

It was a similar story in beans as beans managed to see gains of 10-15 cents a bushel Monday. The forecasts were a bit drier, and that may have provided some support. Export loadings were at 972,001 MT which was about 300,000 MT above the same week a year ago. In addition it was the ninth day in a row the USDA announced a daily bean sale. Monday it was 246,000 MT of new crop beans was sold to China. Traders are thinking the USDA will raise the bean estimate in Friday's report to 48 or 49 bushels an acre, which would be above the trend line yield.