Market News & Headlines >> Corn, Soy Crop Ratings Lowest Since 1988

U.S. corn and soybean crop condition ratings sank again last week, falling to the lowest levels for late June since the drought year of 1988, but corn and soybean futures sold off on Tuesday as traders focused on forecasts for improved Midwest rainfall.

USDA pegged U.S. corn conditions at 50% good/excellent as of June 25, down from 55% a week earlier and 67% a year earlier. The crop rating was two percentage points below the average of trade expectations in a Reuters News Service survey.  An estimated 15% of the U.S. corn crop was rated poor/very poor, up from 12% a week earlier.

USDA estimated U.S. soybean conditions at 51% good/excellent, down from 54% a week earlier and 65% a year earlier, but in line with the average of trade expectations.  Some 14% of the U.S. crop was rated poor/very poor up from 12% a week earlier.

The good/excellent ratings were the lowest since 1988, but both crops were in much worse state at the same point of the growing season in that year. U.S. corn conditions were rated only 21% good/excellent and 28% poor/very poor in 1988 and U.S. soybean conditions were rated only 17% good/excellent and 33% poor/very poor.

Looking at top corn growing states, crop conditions were critically low in Illinois at just 26% good/excellent, while the good/excellent rating in the top corn state of Iowa was down 3 percentage points from a week earlier to 56%. The good/excellent rating for the Minnesota crop was down 10 points to 57%, while the Nebraska good/excellent rating fell 2 points to 57%. The Indiana good/excellent rating was down 9 points to 47%.

For top soybean states, Illinois conditions were also critically low at 25% good/excellent, while Iowa crop ratings fell to 48% good/excellent from 57% previously. The portion of the Minnesota crop rated good/excellent fell 4 points to 63%, while the Nebraska good/excellent rating fell 3 points to 47%. The Indiana crop was rated 47% good/excellent, down from 55% previously.