Will There Be a Jump in Yield This Friday?
Jul 09, 2014
Corn bears continue to talk about potentially higher yields for the US crop. In returnSEP14 corn prices fall below $4.00 per bushel. The USDA is currently using a 165.3 bushel yield estimate. The concern amongst many in the trade is this isn't yet high enough considering how good of condition the US crop is in. Let me remind you the crop is currently rated better at this stage of the game than both the record setting 2004 and 2009 crops. I should also remind you how the USDA often likes to play their cards:
Will There Be A Jump In Yield this Friday? From what we have found in our most recent studies, the USDA doesn't really like to increase their yield for either corn or soybeans a whole lot from the June to their July report. Rather preferring to wait until the August report to make any type of real significant jump. My fear this year however is that they actually had some reason to raise their yield estimate a touch from May to June but didn't, so a slight hike seems almost certain in the July data. My guess, like most in the trade is that we end up a bit higher after Friday's report...say somewhere between a 165.8 and 166.3 bushel per acre yield....but then what? CLICK HERE for my daily report....