By Nate Bruce
For the most part, grain markets during the month of October have experienced a sort of lull in price movement. Mixed reports on corn and soybean yields out of the Corn Belt and uncertainty on how big the crops truly are without any United States Department of Agriculture World Agricultural Supply and Demand Estimates (WASDE) report available due to the governmental shutdown had kept volatility in the markets at bay for the majority of the month. That is until October 27th when the corn, soybean, and wheat futures rallied significantly after the United States Secretary of Treasury, Scott Bessent announced that China will be making substantial purchases of US soybeans during trade discussions. This rallied the markets across the board. Up until this point, China had pledged to purchase no US soybeans, which dampened prices despite tight domestic supply and demand.
Corn futures have traded in a $0.20 – $0.30 range throughout the month depending on the futures. Corn harvest is underway throughout the country and reports are scattered on how large the corn crop will truly be this year. The last USDA WASDE report estimated the average yield will be 186.7 bushels per acre, down from the bearish August estimate of 188.8 bushels per acre.
Source : udel.edu