Corn was up; wheat and soybeans were mixed; and cotton was down for the week.

The USDA Quarterly Grain Stocks Report was released on Thursday. The report estimated corn stored on December 1, 2022, totaled 10.8 billion bushels, down 7 percent from the previous year. The September-November 2022 indicated disappearance was 4.30 billion bushels, compared with 4.67 billion bushels during the same period last year. Soybeans stored on December 1, 2022, totaled 3.02 billion bushels, down 4 percent from the previous year. Indicated disappearance for September-November 2022 totaled 1.53 billion bushels, down 4 percent from the same period a year earlier. All wheat stored on December 1, 2022, totaled 1.28 billion bushels, down 7 percent from a year ago. The September-November 2022 indicated disappearance is 498 million bushels, 26 percent above the same period a year earlier. Continue reading at Tennessee Market Highlights.

Soybeans were up; corn, cotton, and wheat down for the week.

Should producers start managing price risk for the 2023 crop? Yes. On September 16, December 2023 corn futures were $6.20/bu and November 2023 soybean futures were $13.66/bu. Some producers will be looking to hedge new crop production (and this would be a prudent risk management decision for many), however given volatility and the potential for increased margin requirements a more cost-effective strategy may be bridging the price risk gap until crop insurance prices are determined in March. Continue reading at Tennessee Market Highlights.

Corn, cotton, and wheat were up; soybeans were down for the week.

December corn increased from $5.61 ¾, on July 22, to $6.85 this Friday, a 123 ½ cent increase in seven months. The upward trend has been supported by production concerns in the U.S. The August USDA WASDE report estimated national yield at 175.4 bu/acre, however many analysts are expecting a revision in yield next Monday to around 173 bu/acre. A 2.4 bu/acre reduction in national average yield equates to a 204.5-million-bushel reduction in U.S. production. This crop year has seen tremendous weather variability making yield estimates highly variable across large sections of the U.S. Corn Belt. Continue reading at Tennessee Market Highlights.

Corn, soybeans, and wheat were down; cotton was mixed for the week.

Is the harvest low in for corn and soybeans?

December corn futures established a six-month low on July 22nd at $5.61 ¾. Since then, prices have increased nearly 50 cents closing the week at $6.10. Similarly, November soybeans had a six-month low, of $12.88 ½ before subsequently increasing to $14.08 ¾ on August 5th. Recent moves in futures markets and the drier/hot forecast for August in many production regions would tend to support higher prices moving forward. However, this year has been filled with volatility and abrupt changes in direction, so a challenge to current harvest lows cannot be ruled out. To give examples of the volatility, one only needs to look at the last 20 trading days. In 11 of the last 20 trading days the November soybean contract has seen daily moves of greater than 25 cents, including moves of 62 and 62.5 cents down and 37.75 and 38 cents up. For December corn, 9 of the last 20 trading days have had daily changes of greater than 10 cents, including a 42.5 cent decrease and a 19.5 cent increase). Simply stated, markets still have a tremendous amount of uncertainty and daily price swings are reflecting that uncertainty. Continue reading at Tennessee Market Highlights.

The UT Center of Farm Management will be hosting an upcoming program titled “Farm Management During Uncertain Times.” The program will include a series of “town-hall meetings” via Zoom as well as a library of recorded videos (available August 9^th) that producers can access any time. The goal of this series is to provide resources and information to help producers make informed decisions as they navigate the uncertainty of production during drought, rising interest rates, and other current events. Please register at the link below to receive the webinar information for the town-hall meetings. The series is free and accessible to any producer interested.

Register Here: https://tiny.utk.edu/FarmManagementSeries

If you have any questions, please contact Tori Marshall at (615) 374-1283 or tmarsh21@utk.edu.

Corn, cotton, and wheat were down; soybeans were up for the week.

Harvest corn futures are now over 40 cents lower than the May 17th high of $7.65 ½. Planting has progressed substantially the past two weeks and is now approaching the 5-year average nationally. Additionally, most of the corn belt has favorable soil moisture. There is still a lot of time in the growing season, and late planting could affect national average yield, but crop conditions have improved. Weather will continue to dictate market direction until the next major USDA report, which will be the June 30th Acreage report. Continue reading at Tennessee Market Highlights.

This crop progress report for Tennessee and the U.S. is as of and for the week ending May 08, 2022. In West Tennessee, corn and soybean planting was in full swing. Cotton planting got off to a good start, with farmers expecting to make more progress soon due to anticipated warm, dry conditions. Cattle and pasture conditions remained good. In Middle Tennessee, corn planting neared completion despite sporadic showers delaying planting in some areas. Livestock producers started their first cutting of hay. In East Tennessee, the weather was a mixed bag, with some areas reporting pastures being in great shape due to mild temperatures and adequate rainfall, but other areas reporting extremely dry conditions. There were 4.5 days suitable for field work.

Topsoil moisture was 6 percent short, 78 percent adequate, and 16 percent surplus. Subsoil moisture was 6 percent short, 80 percent adequate, and 14 percent surplus. Continue reading at TN_CropProgress_05_08_22. The U.S. Crop Progress Report is available at US_CropProgress_05_08_2022.