WASDE: Corn Stocks Surprise To The Upside
By T. Marc Schober:The USDA continued their streak of surprises by increasing ending corn stocks for 2011/12, despite analysts projecting a reduction in domestic corn supplies. The May WASDE also produced the first official projections for 2012/13, with a record high corn yield of 166 bushels. Domestic soybean stocks continue to dwindle as the usage ratio will be at a historically low rate due to increased U.S. exports and decreased South American production.
Projected U.S. 2011/12 ending corn stocks were increased 50 million bushels to 851 million bushels due to larger than expected wheat supplies and the competitive pricing wheat has compared to corn, implying wheat will be the choice of feed this summer. The 2011/12 projected range for season-average corn prices was $5.95 to $6.25.2012/13 U.S. corn production was estimated to increase by 2.4 billion bushels from 2011/12 to 14.8 billion bushels due to increased harvested area and higher thanComplete Story »