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The long-awaited acreage report from the USDA has been released and shows 89.2 million acres of corn planted for 2022. This is higher than the March estimate of 89.4 million acres and 85.3 million acres planted a year ago. Traders see this as bearish. Meanwhile, stocks as of June 1st are 4.346 BB, up 235 MB from a year ago. In other developments, the rating for corn fell 3 points last week to 67 percent of the crop in good-to-excellent condition which is on par with the 10-year average. There were only 2 states that showed an improvement while Kentucky had the largest decline at 24 percent. Looking at exports, inspections improved last week at 49.0 MB, but were below the average of 58.3 MB that must be shipped each week to reach USDA’s target of 2.450 BB. Since early April, the pace of shipments has fallen 16.0 percent.
USDA forecasts soybean acres planted in 2022 at 88.3 million, down from the March estimate of 90.9 million, but up from plantings of 86.3 million a year ago. This was considered positive by traders. Meanwhile, stocks as of June 1st are forecast at 971 MB, up 202 MB from last year. In other matters, the rating for soybeans fell 3 points last week to 65 percent of the crop in good-to-excellent and is on par with the 10-year average. The largest declines were in the Southeast. Exports were up slightly last week at 17.2 MB but were below the average of 29.2 MB that must be shipped on a weekly basis to reach USDA’s target of 2.170 BB. Shipments to China were only 2.6 MB with the pace to them having fallen 96 percent since November.
All wheat acres planted for 2022 are forecast 47.0 million, up from 46.7 million in 2021. Winter wheat acres are at 34.0 million, up from 33.6 million a year ago, while spring wheat is at 11.1 million, down from 11.4 million last year. The report is considered neutral to negative. Stocks of wheat as of June 1st are forecast at 660 MB, down 185 MB from a year ago. In other developments, winter wheat harvest is rolling along at 41 percent complete compared to 31 percent a year ago and 35 percent for the average. The rating for the spring crop was unchanged from the previous week at 59 percent in good-to-excellent condition. Exports were a nonevent at 12.9 MB and must average 15.1 MB each week to achieve USDA’s target of 775 MB.
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