** 6:30 AM CST CBOT Prices: July soybeans are down .5 of a cent at $9.6475, July corn is down 1.75 cents at $3.66 while July wheat is down 1.5 cents at $4.2175.
** AgResource AM Grain & Oilseed Comment: Good Morning! CBOT prices are slightly lower following better than expected US corn and soybean planting progress last week. NASS reported that US farmers had planted 71% of their corn crop and 32% of their soybean crops. Both are right at 5 year averages and were a few percentage points better than traders had expected. No Midwest states were showing big seeding delays and the E Midwest will score additional good progress this week.
The CBOT will be dialing back any real concern about planting progress, but producers report that all of the rain and cool temps is causing the E Midwest corn/soy crops to look rather “tough” as of today.
US winter wheat crop conditions declined 2% in the GD/EX category as excessive rain is causing disease pressures. State reporting agencies report that the disease pressure is worsening in Kansas and Illinois. The upcoming next bout of heavy rain is not wanted by wheat producers facing several types of foliar disease. ARC looks for a further fall in US winter wheat ratings.
2017 US summer row crops are planted in a timely basis in abundant soil moisture. The marketplace will extract some additional weather premium from price as the 1st stage of the growing season has occurred somewhat normally.
However, it will be interesting to gauge how much selling interest there is with prices deemed as cheap and funds already sizeable shorts?
In other world ag markets, July Malaysian palmoil futures bumped up another 5 ringgits to 2,691 RM/MT. China’s September Dalian soymeal futures lost $1.90/MT to close at $402.10. Dalian September corn lost 6 cents/Bu to $6.01. And Paris wheat is down 1.25 euro’s to $166.25/MT. World markets are not offering much additional news input for the CBOT.
Severe storms and wet weather will be featured across the Plains and the W Midwest for the remainder of the week. A Trough west and weak Ridge weather pattern implies some impressive rainfall totals of 1.5-4.50” for the Plains and W Midwest this week. Mostly dry weather will be featured for the E Midwest until late Friday when new rainfall chances arrive late Friday. Weekend E Midwest rainfall totals are estimated in a range of .5-2.50”.
Midwest temperatures spike today and Wednesday with high temps in the 80’s and a few lower 90’s with a slow cooling trend to follow. The 11-15 day period looks cool/wet across much of the Central US with additional heavy rain for the Plains (OK/KS) which are unwanted with the harvest starting
Other news is lacking this AM. It’s new crop supply that will determine the CBOT price outlook going forward. Wheat should be the market that bottoms 1st with the ’17 US crop estimated to be down more than 500 Mil Bu or some 23% from last year and condition ratings in retreat. Corn and soy prices should ease, but not fall out of bed with the bulk of the growing season ahead.
** QPF 7 Day Rainfall Forecast:
