Keeping with the bearish trend in the grain markets, the USDA reported higher than expected corn and soybean yields and production in its monthly supply/demand report released on Thursday morning.
The average U.S. corn yield was pegged at a record 171.7 bushels per acre, with total production of 14.4 billion bushels. For soybeans, the average yield for the U.S. was estimated to be 46.6 bu/acre, with total production of 3.9 billion bushels.
With the markets focused on the record-sized crop, Brian Voth, senior market coach with AgriTrend Marketing, suggests we may be at the point where the pendulum swings the other way.
“It’s almost impossible to find anybody who’s bullish. When everybody gets to that one side of the boat, that’s the time I start to look the other way,” says Voth in the interview below. “If everybody is bearish, you’ll run out of people to take an offsetting position, so you run out of options to go down.”
Listen to Brian Voth’s take on the September 11 USDA report — his conversation with Kelvin Heppner at the Big Iron Farm Show in Fargo, North Dakota:
If you can’t see the audio above, click here.