The USDA on Tuesday increased its forecast of U.S. and world year end wheat stocks and that pressured wheat markets lower.
The USDA projects on corn and soybeans were neutral to slightly bullish.
Minneapolis wheat futures at about 11:30 a.m. CST are down between 1.5 and two percent.
Canola is down about .75 percent and corn and soybeans are down less than half a percent.
Wheat captured the spotlight in the United States Department of Agriculture report.
The department raised its estimate of U.S. wheat year end stocks by seven percent to 754 million bushels, reflected the slow pace of exports to date.
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Traders had expected stocks of 712 million bu.
On the global front, USDA increased its estimate of year end wheat stocks to 177 million tonnes, from 174 million in November, reflecting increases in crop production estimates from Australia, Canada and China.
The trade had expected 173.4 million tonnes.
• The report on corn was slightly bullish.
USDA maintained its U.S. corn ending stocks forecast of 647 million bushels, the smallest in 17 years.
That was less than wheat traders expected. They average of their guesses was 663 million bu.
World corn stocks were forecast at 117.61 million tonnes, slightly below trade expectations.
• USDA pegged U.S. soybean ending stocks at a very tight 130 million bu., down 10 million from the month before and ions at a marginal 130 million bushels, down 10 million from November and about what traders had expected.
USDA increased its forecast for the annual soybean crush by 10-million-bushel to reflect the hot pace of soy oil exports. The U.S. soy meal export forecast was also increase
USDA pegged global soybean year end stocks at 59.93 million tonnes, slightly above the average of traders’ pre report estimates.
The Bank of Canada’s noon rate for the loonie is $1.0135 US, up from $1.0130.
The U.S. buck is 98.67 cents Cdn.
