The final Pro Farmer Crop Tour numbers surprised many traders, particularly on the corn side. However, commodity analyst Mike Zuzolo says his own survey of farmers painted a different picture- one that was actually closer to USDA’s August estimates.
Zuzolo says the bigger story is why the market reacted so aggressively to the lower corn yield estimate.
The tour’s findings reinforced concerns about already-tight global corn supplies. Zuzolo believes that could continue to support prices in the weeks ahead.
Zuzolo says producers should be thinking now about how they’ll manage risk.
Zuzolo says he’ll be watching both late-season weather and demand trends closely ahead of the September USDA crop report.
