Shortly before the report on April 10 corn was down 2 cents, soybeans were up 8 cents, with wheat down 6 cents. Traders were looking for corn ending stocks to increase due to less corn being fed. Also, soybean production was expected to increase in Brazil.
Shortly after the report corn was unchanged and soybeans were up 11 cents. Corn ending stocks were up 55 million bushels. Soybean ending stocks were down 5 million bushels, traders had expected them to increase a small amount. No surprises for corn or soybeans. Brazil soybean production was up 2 million tons, no surprise. Argentina soybean production was lowered 7 million tons.
The main focus of news in recent days has been the US/China trade situation. Volatility has been extreme and is ever changing. There continues to be a huge war of words from both sides. The reality to keep in front of us is that it will be late May or later before any actions begin to take place.
Bottom line, no big surprises today.
We all know that the weather has not been conducive to corn or soybean plantings taking place across the Midwest. With current weather it will be two weeks plus before we will see planters rolling in earnest.
Soil temperatures are obviously below what is needed and will be when we see daily highs struggle to reach 60 degrees as seen during the first 10 days of April. Weather will be in the news in huge amounts for the month. It will be dominant on days when China trade concerns fall off the cliff. It will be big one day and virtually zero two days later. We will not see more reports from USDA on corn and soybean acres until June 29. Next month USDA will provide their first supply and demand tables for the 2018 corn and soybeans.
This report will be quickly dismissed as China and weather will dominate the news.