Grain markets moved higher on Friday as we wrapped up a week of news and noise in the markets overall. The soy complex led us to the upside as we saw fund money move out of the stock market and into food based commodities on the day. Fed Chair Jerome Powell’s speech in Wyoming could be viewed as direct and blunt (albeit short) as he reiterated the Fed’s commitment to fighting inflation and the fight not being over anytime soon.
This week’s Midwest crop tour released a sharply lower corn yield estimate on Friday afternoon after the markets closed with their soybean number coming in right in line with USDA. Those numbers were 168.1 bu/acre on corn and 51.7 bu/acre on soybeans compared to USDA’s August estimates of 175.4 bu/acre on corn and 51.9 bu/acre on soybeans. It will be interesting to see how the trade and especially the computers and algorithms react to this news on Sunday night’s open and into Monday’s session.
Farm and Ranch Director Jesse Allen has our closing report: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406
Also, more analysis on this week’s trade action with Chad Hart of Iowa State University and Jesse Allen on today’s Market Talk below:
