Source:  Rita Jane Gabbett, MEATINGPLACE, 6/30/11

USDA estimated corn planted area for all purposes in 2011 at 92.3 million acres, up 5 percent from last year, and the second highest planted acreage in the United States since 1944.

Based on a survey the first 10 days of June, the USDA Acreage report estimate was also well above the average market analysts’ estimate of 90.77 acres, according to a Dow Jones pre-report survey.

Deutsche Bank analyst Christina McGlone called the USDA Acreage report bearish for corn prices, noting USDA boosted its estimates since the March planting intentions report and since last month’s World Agriculture Supply and Demand Estimates report. In a note to investors, she also pointed out that acreage increased in high yielding states.

Corn futures prices on Chicago Board of Trade fell sharply on the news with futures for July delivery plunging 45 cents per bushel to $6.53 in late-morning trade.

USDA estimated soybean planted area at 75.2 million acres, down 3 percent from last year. Area for harvest, at 74.3 million acres, is also down 3 percent from 2010.

For more stories, go to www.meatingplace.com.