Corn, soybean and spring wheat futures were supported overnight by USDA’s weekly crop condition ratings and forecasts offering little hope of meaningful relief from dryness across northern and western U.S. production areas. As of 6:30 a.m. CT, corn futures are trading 8 to 10 cents higher, soybeans are mostly 13 to 16 cents higher and wheat futures are mostly 8 to 11 cents higher. The U.S. dollar index is around 120 points higher this morning.
Following are highlights from USDA’s crop progress and condition update for the week ended June 6.
- Corn: 90% emerged, 72% “good” to “excellent” (G/E)
- Soybeans: 90% planted, 76% emerged, 67% G/E
- Spring wheat: 90% emerged, 38% “good” to “excellent”
- Winter wheat: 85% headed, 2% harvested, 50% rated G/E
- Cotton: 71% planted, 9% squaring, 46% G/E
When USDA’s weekly condition ratings are plugged into the weighted Pro Farmer Crop Condition Index, the corn crop dropped 6.2 points to 381.8 points. The CCI rating was still 4.7 points above the five-year average.
Recent rains across some of central and southern Brazil was too late to help a portion of the safrinha corn crop that was hurt by prolonged drought and areas of Parana suffered frost damage. As a result, South American Consultant Dr. Michael Cordonnier cut his Brazilian corn crop estimate.
U.S. Secretary of State Antony Blinken told a House committee on Monday about plans for trade talks with Taiwan saying, “We are engaged in conversations with Taiwan, or soon will be — on some kind of framework agreement.”
President Joe Biden’s negotiations on an infrastructure deal with Sen. Shelley Moore Capito (R-W.Va.) appeared to stall yesterday and a bipartisan group of senators say they are ready to step in with an alternative.
USDA’s Food Safety and Inspection Service (FSIS) has sent a prerule on labeling of meat and poultry products made using animal cell culture technology to the Office of Management and Budget (OMB) for review. So far it is not clear what kind of timeline the Biden administration has in mind relative to this topic.
Wholesale beef prices fell on Monday after declining last Friday indicating the bulk of near-term restaurant and retailer buying may be completed for now.
The average national direct cash hog price firmed Monday, while the pork cutout value rose. The cutout value is nearing the all-time high of $137.56, which was posted in July 2014.