USDA cuts old crop corn carryover, holds soybean outlook


USDA cuts old crop corn carryover, holds soybean outlook

The USDA has tightened old crop U.S. corn ending stocks, while leaving soybeans unchanged and is projecting more supply tightness next marketing year.

Corn was cut 95 million bushels on the month to 1.257 billion primarily on an increase in exports, while new crop stocks are seen at 1.507 billion bushels, with the first production estimate of the season below 15 billion bushels.

Soybeans held at 120 million bushels with lower domestic crush, seed, and residual use canceled out by higher exports, with the new crop supply projected at 140 million bushels and production estimated at 4.405 billion bushels.

Old crop wheat ending stocks are pegged at 872 million bushels, up 20 million, mostly due to a cut in exports, with new crop expected to be 774 million bushels and this year’s wheat crop at just under 1.9 billion bushels.

The USDA also lowered the corn production guess for Brazil because of hot, dry weather, raised the corn import estimate for China, and trimmed soybean production for Argentina.

The next set of supply, demand, and production numbers is out June 10th.

The 2020/21 marketing year started June 1st, 2020 for wheat, September 1st, 2020 for corn and soybeans, and October 1st, 2020 for soybean products.