Corn, soybean, wheat markets reflect new, missing information

Prices of corn, soybeans and wheat continue to move erratically, reflecting both new information and the lack of some information, says Darrel Good, a University of Illinois agricultural economist. “The markets are supplied with a steady flow of data on consumption in some markets, particularly the export markets and the ethanol market. Less frequent information is available about consumption in other markets, particularly the domestic feed market,” says Good.

For corn, the available data point to a continuation of a high rate of domestic consumption and a slow pace of export shipments, he says. For soybeans, weekly export inspections have dropped below the level needed to reach the United States Department of Agriculture (USDA) projection of 1.55 billion bushels for the year ending on August, 31. Inspections for the four weeks ended May, 26 averaged eight million bushels/week, compared to the 11.5 million average needed to reach the USDA projection, he says. Read more ...

This blog is written by Martin Little, The Global Miller, published and supported by the GFMT Magazine and the International Milling Directory from Perendale Publishers