Markets - General
U.S. corn planted acres doubled last week, going from 22% planted on May 8 to 49% as of May 15, according to USDA. Yet, that is still way below the five-year average of 67%.
Surprising Cut to Corn Yields and North Dakota’s Planting Nightmare Show Crop Supplies are Shrinking
Despite USDA releasing a forecast for a record soybean crop for a second year in a row on Thursday, soybean prices skyrocketed Friday. USDA trimmed the national average corn yield, yet corn prices closed lower Friday.
The week started out in a downward trend but ended on a high note due to continued planting delays and lower USDA crop projections.
USDA made a historic move with its May 12 World Agricultural Supply and Demand Estimates report, by dropping the national corn yield below trendline.
U.S. corn planting progress is off to its slowest start since 2013. With only 14% of the corn crop in the field as of May 1, Dan Basse of AgResource Company thinks a record U.S. corn yield is already off the table.
Slow planting, inflation, next week’s USDA reports and more are impacting the markets. Jerry Gulke shares his outlook.
A bullish set of fundamentals pushed corn prices to this high level, says Dan Basse, president of AgResource Company, and those factors could actually be getting more bullish.
The fundamentals were already in place, forecasting positive prices for grain. The war in the Ukraine has strengthened that prediction.
Indonesia’s ban on palm oil exports is unlikely to last more than a month as Jakarta has limited infrastructure to store the surplus oil and the country faces mounting pressure from buyers, industry officials said.
Price discovery suggests price will go high enough until demand is curbed sufficiently so we will not run out of stocks, but someone(s) might have to use less.