08/23/2023 Beans Under Pressure from Day 2 Crop Tour Results, Corn Steady

On the Grains: Corn is steady but soybeans and wheat are both lower in overnight trade. Soybeans are under pressure from remarkably strong soybean yields found in Indiana on Day 2 of the Pro Farmer Crop Tour and topping action in soybean oil on the charts, a mainstay of the crush spreads supporting domestic demand. SBO is under pressure from renewed global demand worries linked to China’s woes and reports that the low water problems crimping transit through the Panama Canal have been particularly problematic for soybean oil shipments with waiting times up to 20 days. Day 2 results from the Pro Farmer crop tour through Nebraska and Indiana are pressuring bean futures the most because the pod counts are well over last year in both states and the scouts aren’t talking up evidence of crop stress from the searing heat they’re dealing with. Even in Nebraska they’re dealing with heavy dew in the first fields sampled. They do mention the crops are “on the edge” of significant stress if forecasts for continued hot dry weather play out through the end of August, particularly in Nebraska. Keep in mind that based on history, the variances from PF yield estimates from…