DES MOINES, Iowa (Agriculture.com)--The CME Group corn and soybean markets skyrocketed due to a bullish USDA Report that tightened soybean acreage and stocks and corn stocks Friday.

The July corn futures settled 39 1/2 cents higher at $6.43. The July soybean contract closed 47 cents higher at $14.08 1/4. The July wheat futures settled 46 3/4 cents higher at $6.74.
In the outside markets, the NYMEX crude oil is $0.68 per barrel higher, the dollar is lower and the Dow Jones Industrials are up 66 points.

Bryan Doherty, Stewart-Peterson Group analyst says, old crop corn trading near limit higher reflects short covering. "But, more importantly, the decrease in today's quarterly corn stocks is more reflective of what basis has been telling us all year, tight inventory. Look for bull spread in July/Dec corn to move well above $1," Doherty says.

Beans had friendly numbers all around. If November approaches $14 in the weeks ahead, it probably pulls some acres from corn, he says.

"Perhaps the most surprising numbers were  in wheat with a decrease in acreage and stocks. This is friendly and has created new buying and short covering."