Harvest progress is going smoothly in Iowa. In a week of 5.5 days of fieldwork, 19% of corn is harvested with 87% of corn mature. Moisture content of field corn is at about 20%, with conditions rated 60% good to excellent.
Farmers harvested about 20% of beans in a week – now at 40% harvested total, 10 days ahead of normal. 64% of the crop rated good to excellent. Dropping leaves or beyond is at 92%, eight days ahead of normal.
Pasture conditions are rated 27% good to excellent.with spotty rains keeping some pastures green for cattle – but water is still an issue. Topsoil moisture levels are at 45% short to very short and subsoil moisture at 53% short to very short.
More farm debt ok’ed
Farmers will be able to borrow slightly more money this year. The US Department of Agriculture announced a higher loan limit for guaranteed farm loans starting this month. It’s about a $50,000 increase to $1.825 million dollars.
The loan is geared toward helping farmers with annual operating and family living expenses, emergencies and cash flow. In 2021 the Farm Service Agency issued more than $3.4 billion in guaranteed loans.
A look at the markets
There’s a seasonal bounce to soybeans according to analyst Don Roose:
“Typically that first week of October the soybeans try to turn more positive, certainly doing that here today, oats continue to be in contract highs, more than that, all time highs going back to 2014, the new crop corn is also in contract highs. Adding some fertilizer premium, some risk premium to the biofuels. Continuing to push to the upside making highs here for the year. Underlying strength here, so it’s all about the farmer tucking the supplies away versus tucking them into the market. The cattle market had a good technical day the prior day so you’re seeing some technical buying come into the market. Starting to flush out the heavy weight cattle that we have out here. The belief is that cattle may try and stay steady this week but might reach a floor here, could try and find some strength if we clear up these heavy weight cattle here. The hog market had a big reaction to the quarterly hog and pig report which showed the June-August pig crop down seven percent, farrowings down during that timeframe, six percent. so bottom line is supply stays tighter into the end of the year, first quarter. That was dialed into the market getting a seasonal break here. The last few days. Trying to hit some of these gap targets to the downside.”