The weak pace of corn exports continues in the 2019-20 marketing year.
Corn use for ethanol production during the 2019-20 marketing looks set to recover slightly from the weak levels seen during the 2018-19 marketing year.
Soybean stocks may be in line for a move lower while corn stocks look to stay near current USDA estimates, eonomist says.
If we assume lower demand from ethanol and exports through August, a 2018-19 ending stocks of 2.435 billion bushels appears feasible.
Pricing some new crop soybeans on rallies this summer may be prudent.
Yield and acreage uncertainty continue to be the critical factors for corn price prospects.
Nebraska and Kentucky boosted corn acres over March intentions while the Dakotas planted less corn
The June acreage estimate may indicate the scale of acreage shifts into soybeans, but prevented-plant acres may not be known until later in the year.
As of June 9, 14.5 million acres remained unplanted in the 18 states reported in the Crop Progress report.
By factoring in late planting, a conservative yield estimate for corn near 170 bushels per acre, 4.5 bushels below the current USDA projection, appears reasonable.