Grain News – USDA Releases First Major Report
It’s another beautiful day in the neighborhood! Just keep thinking that spring is only five weeks from now and we’ll be climbing into the tractors to plant hopefully four weeks after that. Last Friday the USDA released the first major report in two months, the reaction from traders were well let’s just say muted! All the numbers were pretty much in line or averaged out through the balance sheet.
USDA says 2018 U.S. corn production reached 14.420 billion bushels, with average yields of 176.4 bushels per acre. That number comes in 206 million bushels lower than the agency’s prior estimates. U.S. 2018/19 ending stocks dropped 46 million bushels to 1.735 billion bushels.
USDA pegged the 2018 U.S. crop at 4.544 billion bushels on average yields of 51.6 bpa, which is a bit lower than its prior projection of 4.600 billion bushels. Analysts expected the agency to report a smaller drop to 4.572 billion bushels, including a Farm Futures estimate of 4.505 billion bushels. Soybean ending stocks for 2018/19 moved slightly lower, from prior estimates of 955 million bushels up to 910 million bushels.
USDA released estimates for 2018/19 U.S. winter wheat seedings this morning, which total 31.290 million acres, down from prior estimates of 32.595 million acres. Analysts had expected a modest drop in acres this coming season, with an average guess of 32.128 million acres. U.S. wheat ending stocks for 2018/19 are on the rise, moving from prior estimates of 974 million bushels up to 1.010 billion bushels. Analysts predicted a more modest increase to 989 million bushels.
Next week will kick off our Grain Marketing Meetings, if you haven’t RSVP yet, please give us a call. This is one of Landmarks more popular meetings and space is limited. Come and have lunch and or dinner on us and hear Kevin Riesburg from RJO give his grain outlook forecast for the year.