By: Dave Belongia
The much anticipated USDA Report on Monday will go a long way toward setting market direction in the coming weeks. Controversy over corn acreage numbers in previous reports make this report especially important. These comments are based on media interviews with Lance Honig of USDA’s Ag Statistics Service. To compile acreage data for this report USDA will rely on survey work completed during the last half of July, paying particular attention to fields not planted during the June survey. They will also look at satellite data and results of FSA acreage certification reports, although FSA data will be of limited use because it will not be completed in time. It is important to remember that ALL acres planted will be included in the total including corn planted as a cover crop on prevent plant acres. So pay attention to the harvested acres in the report, not just total acres planted. Objective yield data will be hard to come by for this report due to the crop being less developed than normal for this time of year. Corn and Beans have rallied somewhat this past week on dry weather concerns and traders adjusting their positions before the report.
Call me at Miesville with any questions. I will have another report out Monday afternoon after we have had a chance to see the report.