Weekly Market Update 4/20/2023

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

Trivia

1. What was the first vegetable to be grown in space?

2. What is the smelliest fruit in the world?

Answers at the bottom.

Market News​

After a promising start to the week commodity futures have fallen flat on their face in the last 2 days. Inflations fears throughout the world particularly in the UK is causing a rise in the dollar index causing grain futures to fall. Throw in rising jobless claims and credit fears with FED Beige book survey indicating U.S. economy has slowed and access to credit has narrowed has created quite the storm for grains to see red across the board. From a fundamental perspective, rain chances are increasing across the Central Plains to keep bulls locked in the closet for the near-term future. More on the weather below.

Planting progress over this last week has been heading in the right direction. Percentages reported for United States, Corn planted 8% up 5% from previous week, Milo planted 15% up 2% from last week, Soybeans planted 4% up 4% from previous week. Texas is leading the way with 65% of corn planted and 30% in Missouri. Kansas however, making progress with 17% making a jump with 11% progress from last week 7% ahead of the 5 yr. average. Winter wheat condition reported on Monday Across the U.S remains unchanged 27% good to excellent. Falling behind the 5-year average across the United States with 46% good to excellent. Still averaging lower from previous recorded years, with Kansas reported 1% forward progress from last week with 14% good to excellent. Compared to last year falling 19%. With no surprise due to drought conditions and lack of moisture in the area.

Export Inspections: Corn saw its best week in almost a month and was well above trade estimates, coming in at 47.8 million bushels shipped. This still leaves corn 6% behind the USDA’s seasonal pace but gained a little bit of ground. Soybean shipments were solid at 19.3 million bushels and remained ahead of seasonal pace by 10%. Wheat remains choppy for shipments seeing 8.8 million bushels leave the U.S. Wheat is in line with seasonal pace. Export Sales: All export sales were very lackluster with corn and soybeans failing to reach the low end of trade expectations with 12.3 and 3.7 million bushels sold respectively. Wheat was in line for estimates just nothing to get too excited about showing 9.5 million bushels sold, HRS led the way with 4.6 million bushels. Overall, all commodities remain behind USDA pace for the year.
 

Weather

Weather this weekend and into the upcoming week looks like there will be a cold front setting in with highs in the upper 60s and lows even dropping into the 30s. Breezy some at the weekend but no high winds to be expected, however there is a very good chance of some precipitation at the beginning of the week on Tuesday. Thunderstorms for the forecasted future light showers for the days after we will be watching closely and hope to see mother nature cooperate with some kind of moisture for this dry part of the country.

Trivia Answers

1. Potato

2. Durian