Grains were lower overnight with Dec corn drifting back to $4 in overnight trade.
Yesterday after the close, Argentina’s ag ministry revised their 2016 crop forecasts, pegging the corn crop there at 49.5 MMT up from 47.5 MMT and well above USDA’s forecast of 41. For soybeans, the Argentine crop is estimated at 55 MMT down from 57 previously and USDA at 57.8.
Looking at weather shows heat across the central and southern Midwest thru the weekend. Rains of 1 to 2 inches over the next few days will hit S MN, WI and N. IL. But areas to the West remain dry. For the 6 to 10 day forecast, the weather models diverge quite widely in their outlook. The GFS model shows more cooling in the cards, but the European models, which some meteorologists are favoring right now, points to extensive heat in the WCB. The 11 to 15 day forecast indicates warmth returning or maintaining into early August, posing risk to yield and production. The focus at that point will be shifting towards soybeans, where lack of precipitation and additional heat could continue depleting soil moisture in some areas, and risk the crop during the pod fill stage.
French farmers had harvested 63 percent of this year's soft wheat crop by July 17, up from 29 percent a week earlier, data from farm office FranceAgriMer showed on Friday. Crop conditions were stable with 66 percent of soft wheat was rated good/excellent.
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