Wet, cold and slow planting conditions fueled a move higher in the corn market. Planting progress in the past week was less than anticipated at 5% complete, up just 1% for the week and well behind the 5 year average of 31%. Rain and cold forecast for this week could continue the slow pace. The late planting may mean that the tight old crop stocks will have to be stretched out longer before the 2013 crop is ready (See: NASS: South Dakota Crop Progress and Condition Report).
Soybeans started the week strong as old crop supplies remain tight. New crop futures are anticipating that lost corn and spring wheat crop could be switched over to soybeans. View SDSU Extension Commodity Marketing Specialist Lisa Elliot's weekly Cash & Basis article for more on South Dakota Cash & Basis.
The wheat market has concern about frost damage to HRW and the cold wet conditions have been limiting progress for spring wheat. The annual HRW tour started Monday. To check progress of the tour, visit the Kansas City Board of Trade website. Winter wheat conditions in Monday’s report were 35% poor/very poor, and 33% rated good/excellent.