Latest Supply and Demand report from USDA (9/10/10): Friendly for Corn, Slightly Negative for Wheat. -

Corn:

Endings stocks fell to 1.116 BB compared to 1.312 BB last month. Stocks-to-usage are in the lower third of the twenty-year range. World ending stocks are down in the lower third of the twenty-year range. The report is within expectations with nothing present to derail the rally in corn.

Soybeans:

Soybean yields for 2010-11 are projected at 44.7 bpa. Ending stocks fell 10 MB to 350 MB. The average trade guess was 285 MB. Stocks-to-usage are in the mid third of the twenty-year range. World ending stocks were down 1.7 percent to 63.6 million tons. Stocks-to-usage are in the upper third of the twenty-year range. At this level, there is certainly no shortage of soybeans.

Wheat:

Ending stocks of wheat for 2010-11 are projected at 902 MB versus the average trade guess of 877 MB. Production in the Former Soviet Union and Russia fell 2.7 and 2.5 million tons respectively. However, the reduction was anticipated and ending stocks being higher than expected is considered negative.

Come back Monday for my analysis of where all of this will drive corn numbers on Monday, my soybean report will be out Tuesday, and wheat on Wednesday. Don’t forget, for the latest information and analysis, complete with firm dates and prices and marketing recommendations for new and old crop grains, sign up for a FREE! trial subscription to our daily newsletters.

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