No Big Surprises In The USDA Report

Corn was trading a couple of cents lower this morning going into the March USDA Supply Demand Report. The USDA left corn carryover unchanged at 1.837 billion bushels. Even though it was unchanged, you could say it was a little friendly because traders expected an increase of 17 million bushels. One of the other numbers I always look at is the national on farm cash price. The USDA currently sees a price of $3.40 to $3.80 a bushel. The world carryover numbers were a little friendly, too, coming in at 206.97 MMT, which was down from the February at 206.81 MMT.

The USDA increased the projected bean carryover by 10 million bushels to 460 million bushels. That was 8 million bushels above the trade guess. The USDA decreased the world carryover from 208.81 MMT in February to 206.97 MMT this month. The USDA sees the national average on farm price at $8.25 to $9.25 a bushel. That is actually an increase of 20 cents a bushel from last month. Remember that the end of this month the USDA will release the grains stocks report and also the prospective plantings report. I suspect both corn and beans will continue a more sideways pattern until we see those numbers.