Weekly Market Update 6-28-24

Here is your weekly market update from the Garden City Co-op Grain Origination Team.

Trivia

1. How many bones are in a human body?

2. A pickle is made from which fruit or vegetable?

Answers at the bottom.

Market News

Export Sales
This week, a total of 21.3 O/C corn sales were made, while N/C sales were recorded at 5.5 million bushels: remaining 3% above total USDA targets. The largest portions of this week’s corn will find themselves in Mexico, Japan, and Colombia. Still above USDA estimates, O/C wheat sales totaled 24.5 million bushels, with no N/C wheat sales reported; remaining 3% above total USDA targets. Soybean sales this week fell below USDA estimates, with 10.4 million bushels of O/C sold and 3/7 million bushels of N/C sold. After this week, we are 3% below the USDA targets for total soybean sales. Old crop milo sales were totaled at 0.1 million bushels this week, and no N/C sales were recorded. Milo remains 5% above the total USDA yearly targets.

Export Inspections 
On the lower side of USDA estimates, wheat crop totaled 12.6 million bushels inspected. Brazil appears to be taking the largest portion of exported HRW this week, with Mexico and Japan taking the second and third largest portions, respectively. Hard red spring wheat will be traveling by rail to Mexico this week, while the second largest portion will make its way to Chile. Soft red wheat will predominantly make its way to Mexico this week, with 0.8 million bushels being exported. Leading the pack in white wheat exports, Japan plans to take 1.6 million bushels, with Chile and South Korea taking the remainder of the 2.8 million bushels, with no report of durum wheat being exported this week. This week, we saw 44.0 million bushels of corn inspected with the vast majority traveling to Mexico. Soybean exports again climbed this week, with 12.6 million bushels exported; on par with USDA estimates. This week, no milo was inspected.

Quarterly Stocks and Planted Acreage Report Recap
Ugly market day after USDA printed the Quarterly Stocks and Planted Acres report this morning at 11:00 –  it certainly lived up to its reputation as one of the biggest market movers of the year. At one point December corn was down 22. Corn acres and stocks were the needle mover on this report, setting a bearish tone headed into the rest of the summer. CORN: Theme of today’s story is lots of corn around and plenty to come. Planted acres increased almost 1.5 million acres from the March estimate to 91.475 million acres – with current crop ratings and rains forecasted to come across the Corn Belt, it is VERY hard to paint a picture of any kind of production concern today. Stocks came in 120 million bushels higher than the average trade guess at 4.993 billion bushels, with on farm corn the highest percentage of stocks that its been in over ten years. BEANS: Pretty much a non-event. Planted acres came in close to expectations at 86.10 million acres, a slight decrease from the March estimate. Stocks were reported at 970 million bushels, in line with trade estimates. WHEAT: Stocks as of June 1^st came in a little higher than expected at 702 million bushels. All wheat planted acres were down 416,000 acres to 47.24 million acres. Winter wheat saw the biggest decrease.

Weather

We can expect a 30% chance of scattered showers and thunderstorms this evening; large hail and damaging winds are expected with these overnight storms, predominantly north of HWY 50. Lows this evening are expected to be around 69°F. The National Weather Service in Dodge City has issued a hazardous weather outlook for the remainder of this week, this weekend, and into next week. A heat advisory is in effect today for portions of central and south-central KS. This weekend looks like showers and thunderstorms are expected Saturday, with the greatest chances occurring between the hours of 1 am and 4pm. New rainfall amounts between a tenth and a quarter of an inch are expected, with greater amounts possible in the event of a thunderstorm. Sunday appears to be more scattered showers and thunderstorms before 1 pm with a slight chance during the overnight hours. Temperatures this weekend top out in the upper 80s, with low temperatures expected in the mid-60s to low-70s. Monday and Tuesday seem to be mostly sunny with high temperatures near 100°F; the overnight hours bring a slight chance of rain and thunderstorms, with low temperatures in the mid-60s to low-70s. A 20% chance of rain is anticipated through the day Wednesday, with a high near 90°F; chances of precipitation increase to 40% during the overnight hours with low temperatures around 66°F. Lastly, to round out your week, you can expect Independence Day temperatures to be near 95°F with mostly sunny skies!

Trivia Answers

1. 206

2. Cucumber