USDA Report Recap 10/9/2020

Bradford latimer plot harvest

At 11 A.M., the USDA released their latest World Agriculture Supply and Demand Estimates (WASDE). Complete details are in the chart below, which compares the previous USDA estimate and the average estimate of traders to the info released in today’s October report. 

The main takeaway is that soybean ending stocks for both the U.S. and the World are below the average estimate by traders. The U.S. is now pegged at 290 million, when the average was closer to 370 million. World wide ending stocks are estimated at 88.7 million metric tons, which is below the 91.36 average estimate. Initial reaction had soybeans up almost 30 cents over yesterday’s close, but then settling back closer to 20 to 22 higher as of about 11:15 AM. Corn initially dipped from the +5 they were trading pre-report to only 2 or 3 higher, but are now back to about 5 or 6 higher. 

U.S. Production

USDA

Average

2020/21

USDA - OCT 

Previous

Estimate

CORN

14.722

14.9

14.8

Billion Bushels

SOYBEANS

4.268

4.313

4.3

Billion Bushels

Yield

USDA - OCT 

CORN

178.4

178.5

177.7

Bushel per Acre

SOYBEANS

51.9

51.9

51.6

Bushel per Acre

U.S. Ending Stocks 

USDA

Average

2020/2021

USDA - OCT 

Previous

Estimate

CORN

2.167

2.503

2.113

Billion Bushels

SOYBEANS

290

460

369

Million Bushels

World ending stocks 

USDA

Average

2020/2021

USDA - OCT 

Previous

Estimate

CORN

300.45

306.79

300.1

Million Metric Tons 

SOYBEANS

88.7

93.59

91.36

Million Metric Tons 

Look for more details later today in our Bull Bear Banter podcast, which can be found here: https://landusexperience.podbean.com/