Yesterdays USDA weekly crop progress stats follow:

Weekly crop progress report (all numbers expressed in percent)
US CORN – 91% HARVESTED VS 87% WK AGO VS 60% 5-YR AVG
US SOYBEANS – 87% HARVESTED VS 805 WK AGO VS 785 5-YR AVG
US WINTER WHEAT CONDITION- 40% GOOD/EXCELLENT, 46% YR AGO
US WINTER WHEAT – 88% PLANTED VS 815 WK AGO VS 85% 5-YR AVG
US WINTER WHEAT – 63% EMERGED VS 49% WK AGO VS 67% 5–YR AVG

Out of all the data it was the winter wheat rating which caught our attention at just 40% good to excellent which is the lowest rating for some 20 years. As we mentioned earlier in the week it is the dry conditions across the Plains which are contributing to such a rating, and is could well cause issues with the crop entering dormancy in less than ideal condition. This is particularly relevant in a year when any early yield issues are potentially critical from a global standpoint.

Support was evident in early trade in Chicago but profit taking towards the end of the session trimmed gains to the lower end of the trading range.

S American weather, at last, shows some improved conditions across central and northern Brazil which will improve planting prospects. Dryer weather patterns are forecast across southern Brazil and Argentina which, if they materialise, will relieve the extended period of wet weather experienced by the regions.