Corn and Soybeans Down Hard this Morning
This morning at 11:00 the USDA released the March Supply Demand Report. In terms of corn and soybean carryover it was called a little "friendly." We were down a little going into the report, probably on profit taking after the run up last week. About a half hour after the release we went down hard. For corn the USDA made few changes from the February Report and carryover dropped from 1.481 billion bu. to 1.456 billion bu. For soybeans the carryover dropped from 150 million bu. in February to 145 million. However, we are in a world market and what probably took beans down so hard was that the USDA did not drop the South American Soybean Crop as much as expected. As we have seen many times on the day of a USDA Report, the close is much more important than how high or low we trade during the session. I suspect after a short time the market will focus on the March 31st Prospective Planting Report and the Grain Stocks Report. Those normally are market movers.