01 July 2013 23:44 [Source: ICIS news]
HOUSTON (ICIS)--Overall US crop conditions have slightly improved as 3% of the nation’s corn is silking and soybean plantings are 96% finished, according to Monday’s release of the Weekly Crop progress report from the US Department of Agriculture (USDA)..
While 2012 saw 22% silking at this point, the difference between this year’s crop and the previous year has been extended weather delays, which slowed planting of not only corn but also soybeans as well as hindered normal applications of crop nutrients like ammonia and nitrogen.
Fresh from the 28 June release of the USDA acreage report, which announced an unanticipated increase in the amount of forecasted planting totals, the weekly update showed that corn conditions continue to steadily improve.
Most of the gains in corn conditions are due in part to less heavy precipitation, which has allowed farmers to get back to more normal tillage and fertilizer routines. The latest report showed the crop being rated as 2% very poor, 6% poor, 25% fair, 51% good and 16% excellent.
For the second straight week, the amount of crops rated excellent climbed 2 points with the category of poor and very poor left unchanged.
Soybean plantings should be completed for 2013 this coming week as the commodity is now at 96% finished, an increase of 4 percentage points from the week before. In 2012 the crop was at 100% with the five-year average reported at 98%.
The improving weather is benefitting the growth of soybeans as they are now at 91% emergence versus 81% the previous week. In 2012 that level was at 99% with the five-year average is at 94%.
Analysts believe that the newest corn report will give off mixed trading signals as the pace of silking will extract a modestly bullish response but market participants will likely view the latest crop conditions numbers as moderately bearish for corn. A good amount of uncertainty remains over how the late crop will develop and how much weather issues will limit yields.
In soybeans, analysts said the report numbers will make commodity traders modestly bearish as soybeans' conditions and growth progress remain on a steady uptick.
For the third consecutive report, the grain markets started the week with the two commodities heading in opposite direction. July corn was down 23.6 cents to close at $6.55 per bushel while July soybeans were up 6 cents to close at $15.70 per bushel.
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