USDA: Corn Rating Drops for First Time In 2016
DES MOINES, Iowa --The USDA drops the U.S. corn rating for the first time in the 2016 crop season.
Though major corn-producing states such as Iowa and Illinois have good/excellent ratings in the 80s range, the USDA pegged this week’s national crop at 74%, below last week’s rating of 76%.
Also, 97% of the corn is in the silk development stage, compared with a 94% five-year average. The USDA pegged the corn in the dough stage at 53% vs. a 42% five-year average.
As of Sunday, 9% of the U.S. corn crop had hit the dented growth stage, below a 12% five-year pace.
For soybeans, the USDA rated the crop as 72% good/excellent, equal to a week ago.
The amount of the crop in the blooming stage has reached 91% vs. an 88% five-year average. Also, 69% of the soybeans are blooming vs. a 61% five-year average.
USDA rated the U.S. winter wheat harvest as 94% complete compared with a 91% five-year average.
Al Kluis, Kluis Commodities, says today’s report will keep pressure on tonight’s market.
“These reports are about what was expected and are very high for this time of year. The crops are in good condition and ahead of normal maturity,” Kluis says.
When the markets start trading again, tonight, corn is expected to start out 1¢ to 2¢ lower, Kluis told customers in a daily note.
Likewise, the report is slightly negative for soybeans. “I look for soybeans to be steady to 1¢ lower tonight,” Kluis says.