August 18, 2026

Mid-Co Morning Comments:
 

• Grain markets are mostly higher this morning with CZ26 making a three-month high of $4.93. CU/CZ traded -25 overnight while deferred corn spreads are mostly even. Corn funds continue to add to their length and are now an estimated 245,000 contracts long.
• Yesterday’s crop condition report showed another 1% decline in good/excellent ratings for both corn (60%) and soybeans (61%). Once again, most of the larger declines came in western states, with Indiana the exception after dropping 5%. Crop ratings typically fade this time of year as the crop matures and doesn’t look as good from the road. It will be interesting to see how USDA factors in the recent flooding, which should trim yield potential in some key growing areas. I think 180.7 bpa could prove too high. On soybeans, August weather still feels beneficial overall for most growing regions.
• The Pro Farmer Crop Tour released yield estimates for South Dakota and Ohio yesterday. Ohio corn was estimated at 180.2 bpa, down from 185 last year, while South Dakota came in at 148.1 bpa, down more than 14% year over year. Scouts move into Nebraska and Indiana today, although storms across the region will have some tour participants working through plenty of mud to collect samples.
• Basis was mostly quiet in the country yesterday as the flat-price rally enticed a few additional sales. Old-crop soybean basis should remain firm with crush margins still elevated. Incobrasa in Gilman remains posted at +50X for FH September and +5X for October beans.