Share via Email


* Email To: (Separate multiple addresses with a semicolon)
* Your Name:
* Email From: (Your IP Address is 54.224.108.238)
* Email Subject: (personalize your message)


Email Content:

WEEKLY COMMODITY REPORT

08/03/2018

According to the July 12th 2018 WASDE Report #579, 81.8 million acres of corn will be harvested in 2018 to yield 14.23 Billion bushels. The soybean crop is projected to attain 4.31 Billion bushels from 88.3 million acres harvested.

Quarterly corn and soybean stocks were estimated by USDA in a release on June 29th to total 5.3 Billion bushels (36.2 percent of 2017 harvest) and 1.2 Billion bushels (27.3 percent of 2017 harvest) respectively.

The following quotations for the months as indicated were posted by the CME at noon on August 3rd together with values for the corresponding week in parentheses.

COMMODITY

 

Corn (cents per bushel)

Sept.'18 369 (361)*

Dec. '18 384 (375)

Soybeans (cents per bushel)

Aug. '18 882 (870)*

Nov. '18 897 (885)

Soybean meal ($ per ton)

Sept. '18 333 (333)*

Dec. '18 331 (332)

*2018 crop

Changes in the price of corn, soybeans and soybean meal were:-

COMMODITY CHANGE FROM PAST WEEK

Corn: Sept. quotation up 8 cents per Bu. (+2.2 percent)

Soybeans: Aug. quotation up 12 cents per Bu. (+1.4 percent)

Soybean Meal: Sept. quotation unchanged ( 0 percent)

  • For each 10 cent per bushel change in corn:-

The cost of egg production would change by 0.45 cent per dozen

The cost of broiler production would change by 0.25 cent per pound live weight

  • For each $10 per ton change in the price of soybean meal:-

The cost of egg production would change by 0.40 cent per dozen

The cost of broiler production would change by 0.25 cent per pound live weight

Increases in the prices of soybeans and hence soybean meal this week are attributed to the promise of exports to the E.U. despite the reluctance of the trading block to import GM product. Five nations in the E.U. have an outright ban on introduction of GM ingredients and any food product marketed in the E.U. would have to be labeled as to GM content. Temporary optimism during the past two weeks should be viewed against the reality of resumption of Southern hemisphere soybean exports from Brazil and Argentina coupled with a cessation of U.S. shipments to China resulting from imposition of retaliatory tariffs which took effect on June 6th. Effectively exports to China ceased weeks ago.

See WASDE posting summarizing the July 13th USDA-WASDE Report #579, accessed under the STATISTICS tab, documenting price projections and quantities of commodities to be produced, used and exported during the 2018 season.