Market News & Headlines >> USDA Seen Lowering Corn, Soy Ending Stocks
USDA is expected to lower its forecasts of 2017/18 U.S. corn and soybean ending stocks due to lower 2017 crop production and smaller old-crop ending stocks when it releases its monthly supply/demand update on Sept. 12. The projected U.S. wheat carryout is also expected to fall slightly.
Trade estimates of the 2017/18 U.S. corn carryout average 2.125 billion bushels in a range from 1.898-2.447 billion compared with USDA’s August projection of 2.273 billion bushels, according to a survey of 32 analysts by Bloomberg News. Pre-report expectations for 2016/17 ending stocks average 2.352 billion bushels in a range from 2.270-2.415 billion compared with USDA’s August forecast of 2.370 billion bushels.
USDA is expected to lower its forecast for 2017/18 corn production and may also raise projected exports for 2016/17, based on the pace of shipments through the end of July. Trade estimates of the 2017/18 U.S. soybean carryout average 439 million bushels in a range from 325-540 million, versus USDA’s August estimate of 475 million bushels. Expectations for the 2016/17 soybean carryout average 361 million bushels in a range from 310-390 million compares with USDA’s August forecast of 370 million.
USDA is expected to lower 2017 soybean production due to lower yields and could lower its old-crop carryout forecast again due to stronger-than-expected exports.
Trade estimates of 2017/18 U.S. wheat ending stocks average 914 million bushels in a range from 866-943 million compared with USDA’s August projection of 933 million bushels.