AgResource Farm Marketing Advice for Wednesday: 1/ No New Advice, we are cancelling wheat purchase orders following the USDA Report. The WASDE 2020/21 US corn export cut of 100 Mil Bu was a surprise with US corn export commitments at a record high and US exporters ramping to for a strong US corn export pace…
World Ag Market Enters More Bullish Phase; Tightening Stocks a Global Issue: NASS’s January data was wildly bullish. The supply rationing chore was made more difficult amid lower-than-expected US corn and soybean production and higher than expected first quarter disappearance. ARC notes that US Gulf corn is still the world’s cheapest feedgrain – and will…
NASS pegged Dec 1 corn stocks at 11,322 Mil Bu, 318 Mil Bu below the trade’s guess and a bullish surprise. Lower than expected US corn stocks were mostly a function of reduced production, which was trimmed 325 Mil Bu to 14,182 Mil. Total Sep-Nov disappearance was also record large, with feed/residual use up 103…
ARC sees no evidence that US corn export demand is being slowed by higher prices and maintains a 20/21 US corn export forecast of 2,750 Mil Bu. Note that USDA, as expected, has not yet begun lowering Argentine production in earnest. US Gulf corn remains by far the world’s cheapest feedgrain for delivery into early…
Dec 1 US wheat stocks totaled 1,674 Mil Bu, 20 Mil below expectations and down a sizable 167 Mil Bu from last year. Sep-Nov wheat feed/residual use was negative 9 Mil Bu, which is strong historically. WASDE raised annual wheat feed/resid use by 25 Mil Bu to 125 Mil Bu, vs. 101 Mil in 2019/20.…
