Market News & Headlines >> Corn, Wheat Ending Stocks Seen Higher; Soy Lower
USDA is expected to raise its estimates of U.S. wheat and corn ending stocks, but cut its soybean carryout projections due to strong demand when it releases its latest monthly supply/demand report on Wednesday.
USDA is expected to raise its old-crop corn estimate only slightly. Trade estimates of the U.S. corn carryout for 2014-15 average 1.859 billion bushels, 8 bushels above USDA’s May estimate in a range from 1.775-1.964 billion bushels. Expectations for the projected 2015-16 corn carryout average 1.779 billion bushels in a range from 1.622-2.053 billion versus USDA’s May forecast of 1.746 billion.
Trade expectations for the 2014-15 U.S. soybean carryout average 339 million bushels in a range from 302-360 million compared with USDA’s May estimate of 350 million. Pre-report estimates of the 2015-16 soybean carryout average 487 million bushels in a range from 433-569 million against USDA’s May forecast of 500 million.
USDA is expected to raise its forecast for the U.S. crush and/or exports, based on a strong National Oilseed Processors Association crush pace and better-than-expected May export shipments.
For wheat, the trade, on average expects a 2014-15 U.S. carryout of 712 million bushels, just 3 million more than USDA’s May estimate, while expectations for the 2015-16 wheat carryout average 798 million bushels, 5 million above USDA’s May estimate in a range from 672-876 million.
USDA should have to lower its estimate of old-crop exports and could lower its 2015-16 export projection slightly as well. Russia’s 2015 wheat crop could be increased.