Weekly grain report

Byron Behne watches the grain markets for the Odessa Union Warehouse.

5/2/12: Big washout today in the grain markets, yet there didn’t seem to be any terrible news item that caused it. Soybeans closed down 18 cents, which was probably overdue after the run they’ve been on lately and that seemed to allow everything else to get hammered, too. Wheat was off the most, as there certainly isn’t the tight supply situation as there is in corn and beans, and the winter wheat tour is roaming through Kansas and finding excellent yield potential in fields they’ve surveyed so far. Corn prices dropped to near where the Chinese and Unknownians did all their buying a little over a week ago.

5/7/12: Things were looking ugly, as both financial and commodity markets reacted negatively to the election results in Europe this weekend. However, grains reversed course late in the session, with Chicago wheat actually closing in the green by a couple of cents. Remember, socialists have to eat, too. The nation’s corn crop is now 71% planted versus 47% on average for this time of year, which was slightly above estimates. However, it’s not terribly shocking. Winter wheat in good to excellent condition dropped by 1% to 63% as hot dry weather is curtailing some production potential in the southern plains, but the crop remains in much better condition this year than it was last year.