Corn, soybeans, and wheat were down; cotton was up for the week. Corn and wheat tumbled this week due to favorable weather conditions and in-creased projected global supplies. Weather forecasts for April-May provide no major concerns that would disrupt planting across most of the Corn Belt. The USDA estimated that over ¼ of the projected corn acres in Tennessee have been planted to date.

 
November soybean prices have moved mostly sideways ($9.40 to $9.65) since the beginning of April after steep ($10.20 to $9.50) declines in March. Weekly soybean export sales have tapered off as foreign buyers have turned to the record South American crop as for supply. Planting conditions will be closely monitored by soybean markets as most believe that good planting conditions early in the season translate into increased corn acreage, potentially to the detriment of soybean acreage. Continue reading at Tennessee Market Highlights.

PLANTING CONTINUES AS DRIER WEATHER PREVAILS

Agricultural producers rapidly planted crops as breaks in weather and suitable field conditions permitted. Above average temperatures have allowed for quick development of crops. The State’s wheat crop looks good. Pastures, though weedy because of last year’s drought, have been growing and are in need of rain. There were 5.9 days suitable for field work. Topsoil moisture was 1 percent very short, 10 percent short, 76 percent adequate, and 13 percent surplus. Subsoil moisture levels were 2 percent very short, 12 percent short, 79 percent adequate, and 7 percent surplus.  Continue reading the Tennessee NASS Crop Progress report  at TN_04_17_17. The U.S. Crop Progress report can be read at CropProg-04-17-2017.

Corn, cotton, soybeans, and wheat were up for the week. December corn prices increased for the week with higher-highs each trading day. Harvest corn futures are now above the March 31 levels that were the result of the Prospective Plantings report. It is very likely (baring a weather disturbance during planting) that harvest corn futures will continue to trade between $3.74 and $4.04 – the trading range since early October for the December 2017 contract.

 
November soybeans set a 6-month low on Tuesday before increasing 20 cents on Wednesday and Thursday to close at $9.61 ¾. In March soybeans received a lot of bearish news (record South American crop, increased domestic acreage, and greater soybean stocks than previously estimated); however export demand and domestic crush remain strong so, for now, further dramatic de-creases in prices seem unlikely. Continue reading at Tennessee Market Highlights.

The planning period for producers is over and it is now time to put the plans in place. There may be a few acres undecided on which crop to plant but at this point those acres will be more determined by planting conditions and weather than by other factors.

Overall, we are seeing a little more optimism this year compared to a year ago. Some of that optimism has been tempered lately by the March 31 Prospective Plantings report and by weakness in the grain and cotton markets. With large supplies and more than adequate acres of planting intentions, the realization that prices are going to have a hard time rallying up from current levels is starting to sink in. Continue reading at Southeast Farm Press.

April 11, 2017 – USDA World Supply and Demand Estimates

Corn

This month’s 2016/17 U.S. corn outlook is for increased corn used to produce ethanol, reduced feed and residual use and unchanged ending stocks. Corn used to produce ethanol is raised 50 million bushels to 5,450 million based on the most recent data from the Grain Crushings and CoProducts Production report which estimated the amount of corn used to produce ethanol to be record high during December-February. The pace of weekly ethanol production during March as indicated by Energy Information Administration data has also been above expectations. Offsetting is a 50 million bushel reduction in projected feed and residual use to 5,500 million bushels based on disappearance indicated during the first half of the marketing year in the March 31 Grain Stocks. With offsetting usage changes, ending stocks are unchanged from last month. The season-average corn price received by producers is unchanged at the midpoint with the range narrowed to $3.25 to $3.55 per bushel. Continue reading at April 11, 2017 – USDA World Supply and Demand Estimates.

CORN PLANTING BEGINS

Despite windy conditions that hindered the application of burn-down herbicides, corn producers were able to begin planting. In general, pasture condition improved after recent rains, allowing livestock producers to reduce the amount of hay fed. However, pasture in some areas still showed the lingering effects of last year’s drought. Fruit growers were concerned about how a late week freeze might affect their crops. There were 3.6 days suitable for field work. Topsoil moisture was 3 percent short, 76 percent adequate, and 21 percent surplus. Subsoil moisture levels were 1 percent very short, 7 percent short, 80 percent adequate, and 12 percent surplus. Continue reading the Tennessee NASS Crop Progress report  at TN_04_10_17.  The U.S. Crop Progress report can be read at  CropProg-04-10-2017.

Corn, cotton, soybeans, and wheat were down for the week. Price declines for corn, soybeans, and wheat moderated this week as markets search for new information. With the USDA March reports out of the way, focus will now shift to planting progress and weather forecasts.

Since early October, December corn has traded mostly between $3.75 and $4.00 with only occasional moves outside of this range.

November soybeans have decreased over 70 cents since the beginning of March. Fortunately, the projected price for crop insurance was set at $10.19 providing some revenue support at a higher level than current market offerings. Continue reading at Tennessee Market Highlights.

On Friday, March 31, 2017, the USDA released its annual Prospective Plantings report (http://usda.mannlib.cornell.edu/usda/current/ProsPlan/ProsPlan-03-31-2017.pdf) and quarterly Grain Stocks report  (http://usda.mannlib.cornell.edu/usda/current/GraiStoc/GraiStoc-03-31-2017.pdf). Continue reading 2017 Prospective Plantings for  a summary of the reports, both nationally and for Tennessee, and profitability updates for corn, cotton, soybeans, and wheat in Tennessee.