The USDA released both the Prospective Plantings and Quarterly Grain Stocks reports on March 31st. Heading into the day, the markets were anticipating big news from the planting acres, but it seems that there was more to react to in the grain stocks report. Allendale commodity broker Greg McBride said the Prospective Plantings report had a smaller adjustment to the corn acres than most analysts anticipated.
McBride said the soybean acres saw a similar adjustment in the opposite direction.
Both of these adjustments will have impacts down the road for new crop ending stocks.
In the Quarterly Grain Stocks report, corn stocks were up 11 percent from last year at 9.02 billion bushels. While this was a smaller increase than the average estimate suggested, McBride said this still keeps the stock numbers at least somewhat in line.
While the soybean stocks were able to see a 10 percent increase from last year at 2.1 billion bushels, demand was shown to be slightly lower.
McBride said these numbers keep us in line with what we knew from the March WASDE report, and they will likely keep us in line with the April WASDE report.
The team at Allendale can be reached by calling 800-262-7538, or you can visit allendale-inc.com.
