USDA Report Friday
Friday at 11:00 am the USDA will release one of the biggest reports of the year. There will be a lot of numbers for the market to digest. This report will include the final yield and total production for the 2019 crop. It will also include the Stocks Now Positions or how many bushels of corn and soybeans are in commercial storage and in on farm storage. Remember the USDA classifies the corn still in the field as in on farm storage.
Finally the USDA will release the Supply and Demand estimates for the U.S. and the world. Most traders think the report will be bearish, especially with some of the assumptions the USDA makes. You can't really argue with the because that has been the pattern the last few months!
It would seem our best hope of a bullish surprise would be the grain stocks report. It will be interesting to see if the USDA follows the pattern of cutting feed demand again. In about 20 of the last 22 months the USDA has cut feed demand while livestock numbers continue to increase. I have no idea how that is possible month after month?