Wheat down 8.25 cents at $5.02; corn up 2.5 cents at $4.29.
From the U.S. Department of Agriculture:
WHEAT:
Projected U.S. wheat supplies for 2016/17 are raised this
month on both increased
beginning stocks and
larger winter wheat production. Beginning stocks
are raised slightly
with a 3-million-bushel decrease in 2015/16 imports partially
offsetting a 5-million-bushel
export reduction. Projected
production for 2016/17
is up 79 million bushels mainly on
improved prospects for the Hard Red Winter wheat crop in
the Great Plains following
excellent growing conditions
throughout the spring months.
Consequently, the winter wheat
yield is forecast to be
record high. Feed
and residual use for 2016/
17 is raised 30 million
bushels to 200 million on the larger crop as well as increased
wheat price competitiveness
with corn. Imports are lowered
5 million bushels, and exports are raised 25 million bushels to
900 million, up significant
ly from the previous year’s depressed total but still below the five
year-average. Ending stocks are raised 21 million bushels to 1,050 million,
the largest in 29
years....
COARSE GRAINS: The 2016/17 outlook for U.S. feed
grain supplies is lowered this month with declines for corn, sorghum,
and oats beginning stocks more than offsetting an increase for barley.
Projected corn production for 2016/17 is unchanged at a record 14,430
million bushels. Corn ending stocks for 2015/16 are reduced 95 million
bushels as a 100-million bushel increase in the corn export forecast more
than offsets a slightly higher import projection. As of early June,
total U.S. corn export commitments (accumulated exports plus outstanding
sales) are above year-ago levels for the first time in the 2015/16
marketing year. Reduced corn production in Brazil and harvest delays in
Argentina have improved the relative competitiveness of U.S. corn in
recent weeks. The U.S. corn export projection for 2016/17 is raised 50
million bushels as U.S. supplies are expected to remain more competitive
in 2016/17 with less production for Brazil.
Corn ending stocks
for 2016/17 are projected at 2,008 million bushels, down 145 million
from last month. Changes to 2016/17 sorghum beginning stocks reflect
higher 2015/16 forecasts for sorghum use. Projected exports are raised
15 million bushels based on recent food aid shipments and increased
export sales. Food, seed, and industrial use is expected 10 million
bushels higher based on reported sorghum use for ethanol production in
the latest Grain Crushings and Co-Products Production report. Projected
feed and residual use and ending stocks are both lowered. The
season-average farm price for corn is raised for both 2015/16 and
2016/17.
The 2015/16 price is forecast up 10 cents per bushel at
the midpoint with a range of $3.60 to $3.80 per bushel. The 2016/17
price is projected 15 cents per bushel higher at the midpoint with a
range of $3.20 to $3.80 per bushel. Price outlooks for the other feed
grains in 2016/17 are also raised this month. Foreign coarse grain
supplies for 2016/17 are projected up 5.3 million tons, driven mostly by
larger corn production in Mexico and greater barley production in the
EU and Ukraine. Brazil corn production for 2015/16 is lowered 3.5
million tons to 77.5 million, as an early end to the rainy season in
west-central Brazil has reduced yields for second-crop corn. Mexico corn
production is raised 1.0 million tons for 2015/16 based on revisions to
official government estimates and 0.7 million tons for 2016/17
reflecting a favorable start to the rainy season and improved reservoir
levels....MORE
And more to come
