USDA Releases Monthly Reports

The monthly World Agriculture Supply and Demand Report, along with the monthly Crop Production Report, led to a drop in corn prices Thursday. The Department of Agriculture pegged corn ending stocks at 1.92 billion bushels, while the trade guess estimated stocks at 1.78 billion. That sent corn futures down 12-14 cents. Corn production is forecast at 13.7 billion bushels, down 20 million as a decline in harvested area more than offsets an increased yield forecast. The season-average corn price is raised 20 cents to $3.80 per bushel. Meanwhile, Soybean production is forecast at 3.6 billion bushels. USDA estimated soybean production at 3.55 billion bushels, while the trade guess was 3.58 billion. Soybean yield is projected at 46.9 bushels per acre, down one bushel from the September forecast. Harvested area is reduced slightly to 75.6 million acres. The U.S. season-average soybean price is forecast at $9.00 per bushel, up 50 cents reflecting smaller supplies. Finally, the outlook for wheat this month is for smaller supplies, reduced total use, and rising ending stocks. The season-average farm price is lowered $0.10 per bushel to $4.70.