Wednesday November 4, 2020

• Presidential election still left undecided in the U.S. in a very tight race
• Grain markets are off yesterdays highs but are still holding relatively unchanged 
• Estimates into next Tuesdays USDA report are coming out and looking as though we will see a cut in yields for both corn and soybeans (this will be the last change on the production side of the spread sheet until January)
  • The U.S. corn balance sheet has some wiggle room in their crop and can afford to lose some production without getting too tight with supplies – however a tightening of the bean crop could cause some concern and would put even more of a focus on the record Chinese purchases 
• USDA in Beijing reporting Chinese imports for soybean in 2020/21 at 95 MMT – still off the record in 2019/20 of 98.5 MMT 
  • Production in China is also expected to be up 1 MMT in 2020/21 to 18 MMT
• Informa released their estimates for next weeks USDA report
  • Corn yields at 175.7 bu/ac – down from 177.8 bu/ac last month
  • Soy yields at 50.8 bu/ac – down from 51.9 bu/ac last month 
• Tensions rising between Australia and China which could open a window to more wheat exports from the U.S.