Market News & Headlines >> Soybean Carryout Seen Falling
USDA is expected to cut its forecast of the U.S. soybean carryout, but raise projected corn and wheat ending stocks slightly when it releases its monthly supply/demand update on Monday morning.
Pre-report expectations for 2013/14 U.S. soybean ending stocks average 141 million bushels in a range from 130-150 million bushels, compared with USDA’s February forecast of 150 million, according to a survey of 20 analysts by Reuters News Service.
Trade expectations for the U.S. corn carryout average 1.488 billion bushels in a range from 1.431-1.656 billion bushels versus USDA’s February projection of 1.481 billion.
Analysts’ estimates of the wheat carryout average 570 million bushels in a range from 549-612 million against USDA’s February forecast of 558 million.
The soybean carryout is seen falling due to continued strong exports, but any cut in USDA’s estimate should be small, with soybean stocks already forecast to fall near the “minimum pipeline supply” needed to keep the U.S. cash market functioning properly.
USDA may be conservative with any changes to its supply/demand numbers ahead of the quarterly Grain Stocks report due out on March 31.