Early planting continues to progress slowly with widespread moisture across Missouri. USDA says four percent of the state’s corn crop is planted, nearly 10 percent behind last year and the five–year average. Missouri’s winter wheat crop is rated 57 percent good to excellent, steady with last week and last year but well above the national average. Pasture conditions in the state are nearly all fair or good. Topsoil moisture is 71 percent adequate and 26 percent surplus. Subsoil moisture is 77 percent adequate and 15 percent surplus.
Corn stocks are tight, and an ag economist says any changes to the balance sheet could send prices even higher. And with the Biden administration’s recent announcement that it would allow summer sales of E-15, more corn will be headed to ethanol production. University of Missouri’s Scott Brown says while there won’t be a lot more corn used for ethanol, it will be more. “And all else equal it makes prices higher,” he says. “As I look ahead, thank goodness cattle prices have been running year-ago levels.” Brown says retail prices have also been higher, but demand has remained strong. However, Brown says the current state of the broader economy does bring up some concerns. “If consumers decide they aren’t willing to pay for the retail meat prices,” he says. “Then that could start to slide farm-level cattle and hog prices even lower. And then all of a sudden we’re talking about high corn prices. And that won’t work.” And while strong consumer demand helps producers manage higher input costs, he says it doesn’t alleviate all the pressure they’re currently facing.