Winnipeg,(MarketsFarm) – The United States Department of Agriculture lowered its 2019/20 projections for U.S. soybean and wheat ending stocks in its latest World Agriculture Supply and Demand Estimates report (WASDE), released Feb. 11, but kept the corn carryout projection unchanged.
Soybean stocks at the end of the current marketing year are now forecast at 425 million bushels by the government agency, which would be down by 50 million from the January estimate due to an increase in projected exports. That compares with the 909 million bushel carryout from the previous year.
However, the world soybean carryout was raised by roughly two million tonnes from January, to 98.86 million tonnes. The world stocks revision was linked to an increase in Brazilian production, with the USDA now pegging the South American country’s soybean crop at a record 125 million tonnes.
U.S. wheat ending stocks were lowered by 25 million bushels, to 940 million, as exports were raised by the same amount. The world wheat carryout, meanwhile, was relatively steady with the January forecast at 288.03 million tonnes.
U.S. corn ending stocks were left unchanged at 1.892 billion bushels, with a 50 million bushel reduction in exports offset by a 50 million bushel increase in expected demand from the domestic ethanol sector. Average pre-report expectations had been for a slight tightening of U.S. corn stocks.
The world corn carryout for the year was estimated at 296.84 million tonnes, which would be down by about a million tonnes from the January estimate and well below the 320.47 million tonne world corn ending stocks reported the previous year.
Brazil’s corn production was left unchanged from the January estimate, at 101 million tonnes.