06/02/25 Afternoon CommStock Report – Commodity Market Volatility Seen Contracting

It is not US drought that is currently costing us acres and yield but flooding in the Delta region. States including TN, KY, AR, MO, and MS are most impacted. None of them are major corn growing states. In the case of MO, the northern part of the state, where most of that states corn is grown is dry. There will be some prevent plant from this flooding but the crops impacted will more likely be rice, cotton and some soybeans. None of these markets has acted much like they care if acreage is lost. The cotton industry is in dire financial straits, so much so that prevent plant will generate more revenue for farmers than planting the crop.   Another of Dr. Elwynn Taylor’s observations was that the moisture conditions seen in the Mississippi Delta region often portend what moisture that we will see in the corn-belt later. That is because the air pushed up from the Gulf by the Bermuda high into the US heartland travels over the Delta region to get here. If it is dry there, the air we get carries less moisture. When it is wet, such as it is now in AR, with some…