In general, it was a relatively bearish day for grains and oilseeds as the USDA’s crop progress report revealed better than anticipated crop condition scores.
Scores at the end of July have come out better than markets had anticipated, given that dry weather has persisted across central US states. Looking at US weather this week, and forecasts are mixed, with patchy rainfall expected in very dry central states, but alongside patchy rainfall is a continuation of heatwaves pushing north from Texas.
In addition to the better-than-expected crop condition reports, there has been a lot of coverage of the first cargo ship of Ukrainian grain transiting the Black Sea.
Despite ongoing dryness for US central states throughout last week, corn crop conditions scores at the end of July stabilised at 61% good and excellent.
With corn stabilising, soybean crop condition scores at the end of July managed to recover one percentage point, with 60% of US now rated good and excellent, in line with last season.
The winter wheat harvest in the US has now reached 90% complete, while virtually all spring wheat is headed and crop condition scores increased at the end of July, increasing by two percentage points to 70% good and excellent, up substantially from the 10% rated good and excellent last year.
Read the full report here