MN Commodity Broker Says Bears Had Everything Going Their Way
Randy Tatge with Tatge Ag Marketing said in the Ag Market Recap that the bears seemed to have all the news going their way last week. It was a down week for corn and beans as support did not hold on the charts. So, there were many market advisors recommending that farmers price more new crop corn and beans. That of course added to the price pressure.
The largest bearish news was the hurricane that hit our export loading facilities at the Gulf of Mexico in New Orleans. I have read reports that many of them will be down for at least a couple weeks and it could be even longer. Hopefully they will be operational by the time harvest really gets rolling in the heart of the Midwest.
There is a lot of grain that farmers have sold for fall delivery. That grain immediately after being harvested begins moving down the Mississippi river to the export loading elevators in New Orleans. Barges will be backed up very quickly if they cannot be unloaded at the Gulf!
Remember next Friday the USDA will release the September Supply Demand Report at 11:00 am. In the August report the corn yield estimate was dropped a lot more than the market anticipated. With rain the last 3 weeks many private companies have increased their yield estimates so it will be interesting to see if the USDA does too? Click on the link and listen to Randy Tatge with Tatge Ag Marketing who was filling in for Gordy talk about the market action last week.
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