AM Comments 1/12/16
Tuesday, January 12, 2016, 8:01 AM
Submitted by: Eric Kist
Report day is once again upon us, and markets were quiet overnight and steady heading into the morning session. At 11 AM, the USDA will release its Annual Production Estimate Summary, Quarterly Grain Stocks, and an updated monthly Supply & Demand report.
Production from the past harvest is expected to remain basically unchanged, but as the old adage goes, big crops tend to get bigger. November yields used by the USDA were 169.3 bu/ac for corn, and 48.3 bu/ac for beans, and the average trade guesses for today come in at 169.2 bu for corn, and 48.3 for beans.
As everyone is well aware of, both corn and soybean exports have struggled during the first quarter of the marketing year, which leads many to believe export estimates may be reduced. Carryout estimates from the trade call for corn ending stocks to stay steady at 1.78 billion bushels, while the bean carryout is expected to increase by about 10 million bushels (previously 465 million bu.).
Outside markets are also quiet so far this morning, as US equities are a touch higher, and crude oil has rebounded slightly after making fresh lows again yesterday.
Beans: Steady to 1 higher
Have a great day!