USDA lowers wheat production outlooks
The USDA’s projections for what was already expected to be a smaller wheat crop continue to shrink.Wheat adding another 10 to 535:
The department has winter wheat production at 1.218 billion bushels, 2% lower than in June on a reduction from 52.1 bushels per acre to 52.0 in average yield based on harvest results and down 7% from 2019 with planted area the lowest on record. That includes a 4% month to month decrease for hard red winter wheat to 710.306 million bushels and a 6% drop in soft red winter wheat at 280.309 million, cancelling out a 1% increase for white winter to a combined 196.217 million bushels. Harvested area this year is seen at 23.439 million acres. In 2019, winter wheat production was 1.304 billion bushels with an average yield of 53.6 bushels per acre on harvested area of 24.327 million acres....MORE
And despite the reduction in production estimates the market was expecting more cuts in corn:
USDA cuts 2020 corn production projection
The USDA has slashed its’ projection for 2020 corn production and raised the outlook for soybeans slightly. Those changes follow the June 30th planted area totals, with showed lower than expected corn acreage against an increase for soybeans.Corn down 9.75 (2.80%) at 335
Corn production is pegged at 15 billion bushels, down 995 million from the June supply and demand report, pulling the new crop ending stocks guess down 855 million bushels from last month to a still bearish 2.648 billion bushels. The average yield estimate for corn was unchanged at 178.5 bushels per acre, compared to 167.4 a year ago, but that could also be lowered in coming months, depending on development weather, and the USDA raised old crop ending stocks 145 million bushels to 2.248 billion because of slower feed and fuel use....MORE
Here's the USDA (40 page PDF)
