Corn Inventory
Corn has suffered a similar fate as wheat, because exports are low and the harvest is high.
Corn exports are expected to fall by a huge 100 million bushels, as countries are successfully growing corn, and that is decreasing the demand globally, as it is with wheat.
The corn stockpile is projected to reach about 1.799 billion bushels after harvest, a major leap by 60 million bushels over the former estimate made by the USDA, which hasn't done a great job this year in accuracy, to say the least.
To put this into perspective, corn inventory has only surpassed 1.8 billion bushels four times in the last two decades.
Some are touting a resurgence in ethanol as a potential savior for corn in 2010, but that's very unlikely, as the economy is far from recovery, no matter what the official government line is.
Wheat is also expected to be cut back by about 10 percent in seeding next year for similar reasons as corn, but many of those farmers are expected to put that acreage into corn, putting more pressure on a larger harvest.
With corn exports continuing under pressure as other countries increasingly supply their own, and a slow economy not having the strength to push ethanol forward, I don't see a great year for corn in 2010 either.
Corn Inventory
Showing posts with label Corn Review. Show all posts
Showing posts with label Corn Review. Show all posts
Wednesday, March 10, 2010
Thursday, June 4, 2009
Corn News | Corn Production and Ending Stocks Projections Lowered by Analysts
Corn News
Ahead of the soon to be released USDA supply and demand report, McHenry, Illinois based analysts Allendale Inc. expect the Ag Department to lower its production and new crop ending stocks estimates for corn.
Allendale sees 2009/10 corn stocks at 1.015 billion bushels and production at 11.935 billion bushels because of delayed planting. Allendale also sees the USDA cutting the average yield estimate by 2 bushels per acre. In May, the USDA put corn production at 12.090 billion bushels and new crop stocks at 1.145 billion bushels. Allendale pegs old crop corn ending stocks at 1.610 billion bushels, up 10 million from May.
Allendale expects USDA to leave the soybean production guess unchanged from May at 3.195 billion bushels, but sees old crop stocks at 99 million bushels due to strong demand; the USDA's May 2008/09 ending stocks estimate was 130 million bushels. Also, Allendale sees 2009/10 soybean stocks at 243 million bushels, compared to 230 million in May's update.
2009 U.S. wheat production is projected at 1.993 billion bushels, compared to May's estimate of 2.026 billion. Winter wheat is placed at 1.492 billion bushels, with hard red at 864 million, soft red at 417 million and white winter at 211 million. In May, the USDA had wheat production at a total of 2.026 billion bushels, with the winter crop at 1.502 billion, hard red at 871 million, soft red at 422 million and white at 208 million.
The USDA will also be issuing updated world supply and demand figures. The reports are due out Wednesday, June 10 at 7:30 AM Central.
Corn News
Ahead of the soon to be released USDA supply and demand report, McHenry, Illinois based analysts Allendale Inc. expect the Ag Department to lower its production and new crop ending stocks estimates for corn.
Allendale sees 2009/10 corn stocks at 1.015 billion bushels and production at 11.935 billion bushels because of delayed planting. Allendale also sees the USDA cutting the average yield estimate by 2 bushels per acre. In May, the USDA put corn production at 12.090 billion bushels and new crop stocks at 1.145 billion bushels. Allendale pegs old crop corn ending stocks at 1.610 billion bushels, up 10 million from May.
Allendale expects USDA to leave the soybean production guess unchanged from May at 3.195 billion bushels, but sees old crop stocks at 99 million bushels due to strong demand; the USDA's May 2008/09 ending stocks estimate was 130 million bushels. Also, Allendale sees 2009/10 soybean stocks at 243 million bushels, compared to 230 million in May's update.
2009 U.S. wheat production is projected at 1.993 billion bushels, compared to May's estimate of 2.026 billion. Winter wheat is placed at 1.492 billion bushels, with hard red at 864 million, soft red at 417 million and white winter at 211 million. In May, the USDA had wheat production at a total of 2.026 billion bushels, with the winter crop at 1.502 billion, hard red at 871 million, soft red at 422 million and white at 208 million.
The USDA will also be issuing updated world supply and demand figures. The reports are due out Wednesday, June 10 at 7:30 AM Central.
Corn News
Saturday, January 3, 2009
DJ CBOT Corn Review: Ends Higher On Crude; Unchanged On Week
CHICAGO, Jan 02, 2009 (Dow Jones Commodities News via Comtex) --
By Ian Berry
Of DOW JONES NEWSWIRES
Higher crude oil and short-covering pushed Chicago Board of Trade corn futures higher Friday, as the market extended its rally from Wednesday, traders said.
March corn ended up 5 1/4 cents to $4.12 1/4 per bushel, May corn ended up 5 cents to $4.22 3/4 and July corn ended up 5 cents to $4.33.
The market was a penny or two higher for most of the day and gained a few more cents before the close. It remains firmly above key support at $4 as well as its 50-day moving average at $3.85.
"The market has given a clear indication -- not just corn, but wheat and soybeans -- that the Dec. 5 lows were fairly major," said Joel Karlin, analyst for Western Milling.
Higher crude oil and U.S. stocks set a supportive tone, although there was little fundamental news to boost the market, traders and analysts said. Weekly export sales of 269,900 metric tons were weak, traders added.
Traders and analysts add that the rally from a low of $2.90 in the nearby contract in December has been in light volume, much of it around the holidays. Many expect the market will give back some of its gains once traders return and activity gets back to normal next week.
Karlin said following the Jan. 12 crop report, the market will have "a renewed focus on fundamentals" including prospects for planted acreage this year.
Weak demand across all sectors continues to limit corn's gains, analysts say, and corn's recent gains will only hinder any rebound in demand.
Funds bought an estimated 1,000 contracts. Although the market closed higher for the third straight day, the March contract ended unchanged on the week.
CBOT oats ended slightly higher. March oats ended up 2 cents to $2.12 per bushel, May oats ended up 2 cents to $2.21 1/4 and July oats ended up 2 cents to $2.30 3/4.
Ethanol futures were mixed. January ethanol ended flat at $1.620 per gallon and March ethanol ended up $0.005 to $1.654.
-By Ian Berry, Dow Jones Newswires; 312-341-5778; ian.berry@dowjones.com
(END) Dow Jones Newswires
01-02-09 1543ET
Copyright (c) 2009 Dow Jones & Company, Inc.
By Ian Berry
Of DOW JONES NEWSWIRES
Higher crude oil and short-covering pushed Chicago Board of Trade corn futures higher Friday, as the market extended its rally from Wednesday, traders said.
March corn ended up 5 1/4 cents to $4.12 1/4 per bushel, May corn ended up 5 cents to $4.22 3/4 and July corn ended up 5 cents to $4.33.
The market was a penny or two higher for most of the day and gained a few more cents before the close. It remains firmly above key support at $4 as well as its 50-day moving average at $3.85.
"The market has given a clear indication -- not just corn, but wheat and soybeans -- that the Dec. 5 lows were fairly major," said Joel Karlin, analyst for Western Milling.
Higher crude oil and U.S. stocks set a supportive tone, although there was little fundamental news to boost the market, traders and analysts said. Weekly export sales of 269,900 metric tons were weak, traders added.
Traders and analysts add that the rally from a low of $2.90 in the nearby contract in December has been in light volume, much of it around the holidays. Many expect the market will give back some of its gains once traders return and activity gets back to normal next week.
Karlin said following the Jan. 12 crop report, the market will have "a renewed focus on fundamentals" including prospects for planted acreage this year.
Weak demand across all sectors continues to limit corn's gains, analysts say, and corn's recent gains will only hinder any rebound in demand.
Funds bought an estimated 1,000 contracts. Although the market closed higher for the third straight day, the March contract ended unchanged on the week.
CBOT oats ended slightly higher. March oats ended up 2 cents to $2.12 per bushel, May oats ended up 2 cents to $2.21 1/4 and July oats ended up 2 cents to $2.30 3/4.
Ethanol futures were mixed. January ethanol ended flat at $1.620 per gallon and March ethanol ended up $0.005 to $1.654.
-By Ian Berry, Dow Jones Newswires; 312-341-5778; ian.berry@dowjones.com
(END) Dow Jones Newswires
01-02-09 1543ET
Copyright (c) 2009 Dow Jones & Company, Inc.
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