Informa lowered its estimate for the US corn crop by some 450m bushels 10.7bn bushels, citing a yield which it saw at 122.4 bushels per acre, below the previous forecast of 127.0 bushels per acre.

For soybeans, the yield estimate was raised, but by a 0.8 bushels per acre to 37.8 bushels per acre, adding an extra 65m bushels to the crop.

The comments follow a US Department of Agriculture assessment that only 40% of winter wheat seedlings were in “good” or “excellent” condition as of Sunday, the lowest reading since records began in 1985.

Below are the actions I am going to take:

1. Short on corn

2. Long on soybean

3. Long on wheat

References:

1.http://www.agrimoney.com/news/socgen-upbeat-on-wheat-prices-as-us-crop-struggles–5170.html

2.http://www.agrimoney.com/news/grain-soybean-prices-dip-despite-informa-data–5172.html