PRICE REBOUND OVERNIGHT... As of 6:30 a.m. CT, corn futures are trading 6 to 9 cents higher, soybeans are mostly 10 to 15 cents higher, SRW wheat is mostly 5 to 8 cents higher, HRW wheat is 4 to 6 cents higher and HRS wheat is 2 to 4 cents higher. The U.S. dollar index is under pressure this morning.
FSA SEPTEMBER ACREAGE DATA RELEASED... USDA's Farm Service Agency (FSA) released its second round of certified acreage data this morning. Prevented-plant corn acreage now stands at 3.573 million acres, up from 3.411 million acres in August, and prevented-plant soybean acreage is now 1.687 million versus 1.619 million last month. FSA now reports planted + failed corn acres at 91.428 million versus 88.771 million in August and planted + failed soybean acres at 74.659 million versus 72.061 million last month. PERSPECTIVE: The numbers may not be growing as fast as some have expected as contacts advise there may be issues with the system that county offices are using to provide the certified acreage data to USDA’s Washington headquarters. The new system, known as the MIDAS (modernize and innovate the delivery of agricultural systems), was put in place this year and the shift from the "old" system to the new MIDAS system may be creating some difficulties, according to some sources. NOTE: There appears to be some discrepancies in the actual data file showing different prevented planting totals. The information above was gleaned from the Prevented Planting tab in the FSA data file.
CHINA SIGNS DEALS TO BUY U.S. SOYBEANS... Chinese importers signed 13 non-binding letters of intent to buy 4.83 MMT of U.S. soybeans valued at $2.8 billion on Monday. Shipment of the soybeans is intended for the 2013-14 marketing year and will most likely be prior to March, when the South American crop hits the market.
BEAN CCI RATING DROPS AGAIN, CORN STEADY... When USDA's weekly crop condition ratings are plugged into the weighted Pro Farmer Crop Condition Index (0 to 500 point scale), the soybean crop dropped another 2 points to 334, while the corn crop held steady at 342. For beans, mild declines in Minnesota, Missouri, Nebraska, Ohio and South Dakota more than offset modest improvements in Iowa, Illinois and Indiana.
REP. PETERSON KEEPS UP CRITICISM OF GOP NUTRITION CUTS... House Ag Committee Ranking Member Collin Peterson (D-Minn.) again reiterated his opposition to the nutrition cuts of $40 billion over 10 years that are part of a nutrition-only bill the chamber will consider, likely on Thursday. "Instead of appointing farm bill conferees, the Republican Leadership has decided to move forward with an unnecessary and divisive nutrition bill," Peterson said. "Even if this bill is defeated, as it should be, I worry the debate will eliminate any remaining goodwill needed to pass a farm bill. The Majority is again catering to the extremes of their party, pushing messaging bills to nowhere. It’s time to get serious. If they will just get out of our way, the House and Senate Agriculture Committees can work together and provide farmers, ranchers and consumers the certainty of a five-year farm bill." Veteran farm bill watchers concur that whatever nutrition cuts are in any final farm bill will not be as deep as what is expected in the GOP plan but will be greater than the $4 billion contained in the Senate-passed version of the farm bill.
EPA ADMINISTRATOR TO SPEAK AT PRESS CLUB FRIDAY... EPA Administrator Gina McCarthy will give an address at the National Press Club on Friday -- the same day her agency is tasked with proposing its revised rule regulating greenhouse gases from new power plants. She could also be asked about coming Renewable Fuel Standard volume requirements for 2014. Unconfirmed reports on Monday chatted about a corn ethanol volume requirement for 2014 even below the 13.8 billion gallons for 2013, and the 14.4 billion gallons noted in the 2007 energy law.
UNINSPIRING START FOR BOXED BEEF MARKET... Boxed beef prices were mixed Monday and packers moved only 144 loads of product on the day. Unless the boxed beef maket strengthens from yesterday's performance, traders' bullish cash cattle hopes may not pan out as packer margins are weak.
PORK CUTOUT DECLINES... The pork cutout value was 93 cents lower yesterday as all cuts except ribs and hams posted sharp losses. While packers moved a solid 340.49 loads of product amid the price decline, traders are more closely watching the product market for signs of a seasonal top as the cutout value has been choppy the past week.
OVERNIGHT DEMAND NEWS... Japan is seeking 108,901 MT of wheat in its weekly tender. South Korea tendered to buy 20,000 MT of optional origin non-GMO soybeans.