Through the end of November, farmers were still hard at work on getting the rest of their corn crop out of the fields. Despite the extreme delays, markets haven’t responded the way most analysts would like.
“There hasn’t been anything much going on to tell the truth,” said Jack Scoville of the Price Futures Group. “I think that’s been as disappointing a thing as anything that’s going on around here. There hasn’t been much support on those (delays). I can’t really understand why.”
He said there may be some decent yields still coming out of the field, which could be limiting any gains the corn market might have seen. Scoville said he is curious how this will affect the way the markets trade weather throughout the growing season in future years, as it isn’t seeming to move the needle as much.
As of Nov. 24, corn harvest was reported at 84% complete, 12 percentage points behind the five-year average. Soybeans were nearly complete at 94% harvested.
Meanwhile, Scoville said he is still waiting for trade deals to be agreed upon, and while he said he is not surprised to not see much progress made, it certainly isn’t helping the markets.
“It’s unfortunate, but not 100% surprising,” he said. “That’s going to continue to weigh on futures.”
He said the markets are waiting for “any other shoe to drop,” whether it comes from trade deals or weather, but until then, the markets are expected to stay relatively quiet.
The major focus for Scoville in December is to watch demand. He said production may adjust in the Dec. 10 Supply and Demand report, and he wants to see if export demand projections are adjusted at all for both corn and soybeans.
With Thanksgiving over, many eyes are turned to South America’s growing season, and the weather is looking favorable for a good crop in those regions, Scoville said.