The Good: It took some doing, but spring wheat clawed back on the close to finish the day up by a quarter of a cent. The reason that this unspectacular move was good is that the contract could have done some technical damage today, if it had closed on the daily low of US$5.3450 per bushel. Instead the December spring wheat contract closed the day at US$5.395o per bushel. The contract managed to survive the news that Canadian spring wheat production is expected to be the second highest on record at 25.7 million tonnes. It was a struggle, but spring wheat managed to hold onto the gains of the past week despite the bearish news.
The Bad: The soybean conditions in the U.S. dropped by three per cent to 66 per cent good to excellent. The 2020 crop has gone to from the highest rated crop in the past five years to middle of the pack. Conditions in Iowa dropped to 50 per cent good to excellent during the week as continued dryness caused stress during the filling stage. Iowa reported four per cent of the crop is dropping leaves, which is a sign that the crop is beginning to mature quickly. This is not a sign that yields are going meet current USDA expectations in the western Corn Belt.
The Ugly: There were scattered outbreaks of frost on the weekend with northeastern Alberta and western Saskatchewan dipping close to or under the freezing mark. Val Marie, Rosetown and Kindersley all registered freezing temperatures this morning. For those hoping that the cold temperatures were going to stay away for the next few weeks, the long term to the middle of September indicates that the first half of the month will be cooler than normal. The eastern Prairies will be the coolest, but even western areas have a good chance of cool weather through September 15th. Welcome to a quick onset of fall weather!