Corn futures are trading higher at midday. Snow, frost and freeze over the past week have effectively put an end to the growing season across the Corn Belt, according to a National Corn Growers Association blog.
Freezing temperatures were recorded as far south as Missouri and Illinois and wet conditions also slowed the harvest in most areas. According to USDA, just 13 percent of the crop was harvested as of this weekend, compared to 35 percent normal for this time of year. Only 74 percent was mature, with states like Illinois, Wisconsin and Michigan reporting barely half the crop mature and North Dakota only 37 percent.
However, it will still take some time to determine how much the crop will suffer as a result. USDA is still rating the crop as 70 percent good to excellent this week. “The problem here is that the freeze was underway at the time of the survey,” said USDA meteorologist Brad Rippey. “So, I think we will see in the coming weeks more reports on the impact.”
According to Doane, the market is being supported by the slow harvest pace, weakness in the dollar and strength in crude oil and equities. USDA pegged harvest progress as of Sunday at 13% complete, which was below trade expectations and the five-year average of 35%. Harvest delays and the recent freeze are expected to trim yields and negatively affect crop quality.
Source: Doane, NCGA