US soybean crop conditions fall to their worst level since 2023

US soybean crop conditions have deteriorated for a third consecutive week. As of August 23, 60% of soybeans across 18 major producing states were rated good to excellent, down from 61% a week earlier and 69% at the same time last year.

The share of soybeans rated poor to very poor increased from 10% to 12% over the week. A year earlier, the figure stood at just 8%. The current US soybean crop rating is the lowest for this time of year since 2023.

At the same time, crop development remains ahead of the normal pace. Pod setting reached 91% compared with 85% a week earlier and the five-year average of 88%. Leaf dropping was reported on 6% of the area versus 4% both last year and the five-year average.

Therefore, the main risk for US soybeans is not delayed crop development but the gradual deterioration in crop conditions during the final stages of yield formation. This is increasing market concerns over yield potential and final production volumes.

Further deterioration could strengthen expectations of downward revisions to US soybean production forecasts and provide additional support to prices. Weather conditions in late August and early September will be particularly important for final yields.

Tags: USA, crop condition, soybean