September 17 Weekly Update

9/17 – In last week’s WASDE, the USDA raised 2018/19 corn yield to a record-high 181.3 bushels per acre and pushed production to 14.83B bushels, resulting in (potentially) the 2nd largest crop on record. The USDA has cut its 2018/19 corn price forecast from to $3.80 to $3.50 per bushel over the past 2 months ago. Corn futures, which surged above $4.00/bu in May, have fallen to $3.37. The USDA made minor changes to wheat numbers and left its 2018/19 price forecast unchanged at $5.10/bu. Chicago wheat futures, which were $5.74 in early Aug, have dropped to $4.80. – – – – Hurricane Florence has done some damage to a major hog producing region. North Carolina is home to 12.2% of the U.S. hog herd and 9.5% of our hog processing capacity. NC is also the top turkey producing state and 4th for broilers. Production disruptions and some herd/flock loss is likely.