Baird analyst Mircea (Mig) Dobre provided the following quick take following this week’s USDA Crop Progress report.
The acreage report was largely as expected, he says with corn acreage confirmed +5% year-over-year.
Crop Progress shows corn condition good/excellent +3% vs. last week (to season-high 73%) following heavy rainfall across the Corn Belt. Soybeans were unchanged.
Modest rain is in the forecast this week across most corn/soy states.
“Prices fell last week with corn ($4.20/bu) and soybeans ($10.25/bu) remaining well below levels needed for incremental equipment investment; today's releases continue to back strong yield forecasts, commodity price upside likely limited,” Dobre says.
