Source: Rita Jane Gabbett, MEATINGPLACE, 2/11/14


USDA slightly raised it corn price forecast as greater than expected corn exports decreased its forecasts of corn stocks available for domestic use in its monthly World Agricultural Supply and Demand Estimates report.

Noting strong U.S. corn export sales and that reduced foreign export prospects also lower competition for U.S. corn in the world market. Consequently, U.S. corn ending stocks are projected 150 million bushels lower than a month earlier.

Ending corn inventories for the 2013/14 marketing year are now forecast at 1.48 billion bushels, down from 1.63 billion bushels forecast in January and below the average market analyst’s estimate of 1.61 billion bushels.

The season-average farm price for corn is raised 10 cents on both ends of the projected range to $4.20 to $4.80 per bushel.

Soybeans
USDA raised its estimate of U.S. soybean supplies by 5 million bushels to 3.46 billion bushels on higher projected imports, mainly from Canada.

The 2013/14 season-average soybean price range is projected at $11.95 to $13.45, up 20 cents on both ends. The soybean meal price is projected at $425 to $465 per short ton, up 10 dollars on both ends of the range.

J.P. Morgan analyst Ann Duignan called the report bullish for corn prices and bearish for soybean prices.

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