WASDE reports raise soybean, corn forecast, lower wheat

October 10, 2014

From WATTAgNet:

The U.S. Department of Agriculture released its latest WASDE reports on October 10, raising corn and soybean production and lowering wheat production.

Corn production is forecast 80 million bushels higher at a record 14,475 million bushels as lower reported area is more than offset by a 2.5-bushel-per-acre increase in yield. Corn supplies for 2014-15 are projected at 15,736 million bushels, up 129 million from last month reflecting higher production and a 55-million-bushel increase in beginning stocks from the September Grain Stocks report.

The soybean yield is projected at 47.1 bushels per acre, up 0.5 bushels from September. Harvested area is reduced 0.7 million acres to 83.4 million. Soybean supplies for 2014-15 are projected 24 million bushels below last month with lower beginning stocks from the Grain Stocks report more than offsetting increased production.

Projected U.S. wheat ending stocks for 2014-15 are lowered 44 million bushels as increased production is more than offset by higher feed and residual disappearance and higher exports. Production for 2014-15 is raised 5 million bushels based on the latest estimate from the September 30 Small Grains 2014 Summary.

WASDE Coarse Grains: U.S. Corn Production Raised 80M Bushels

feed grain production is raised this month as higher forecast corn production more than offsets a reduction for sorghum and the lower estimates for barley and oats from the Small Grains 2014 Summary. Corn production is forecast 80 million bushels higher at a record 14,475 million bushels as lower reported area is more than offset by a 2.5-bushel-per-acre increase in the yield.

WASDE Oilseeds: U.S. Soybean Forecast Boosted 14.M Bushels

oilseed production for 2014/15 is projected at 116.3 million tons, up 0.1 million from last month. Soybean production is forecast at a record 3,927 million bushels, up 14 million with improved yields more than offsetting reduced harvested area. Soybean supplies for 2014/15 are projected 24 million bushels below last month with lower beginning stocks from the Grain Stocks report more than offsetting increased production.

WASDE Wheat: U.S. Ending Stocks Lowered 44M Bushels

wheat ending stocks for 2014/15 are lowered 44 million bushels as increased production is more than offset by higher feed and residual disappearance and higher exports. Production for 2014/15 is raised 5 million bushels based on the latest estimate from the September 30 Small Grains 2014 Summary. Global 2014/15 wheat supplies are raised 0.3 million tons with increased production offsetting lower beginning stocks.

WASDE Report Reaction

The WASDE report provided numbers that were within market expectations which barely moved the market following the release of the report. This month’s corn yield estimates were reported at 174.2 bushels per acre which was only ½ a bushel per acre less than the average trade guess. Production was bumped by 55 million bushels reflecting the quarterly grain stocks report on September 30th.