The full text of the USDA’s August 11 WASDE report is available through this link. There were no bullish surprises in the monthly report. Soybean, corn, and wheat futures markets will now wait until September for a better handle on crop yields and the 2023 harvest, which gets underway in the fall.
We have seen extreme grain and oilseed futures volatility since early 2022 when Russia invaded Ukraine. The war in Europe’s breadbasket will impact food and energy prices over the coming months and years. The USDA tends to look at a best-case scenario for agricultural crop production. However, in August 2023, uncertainties continue to plague the markets, which could cause sudden bouts of extreme price variance.
