March 31, 2016

Corn

CBOT Prices Two Rivers Cash Bid Prices
Mar ‘16 351’4 -15’4 Mar ‘16 324’0 -15’0
May ‘16 355’6 -15’6 Apr ‘16 324’0 -15’0
Jul ‘16 360’4 -15’4 May ‘16 325’0 -14’0
Dec ‘16 368’6 -15’2 NC ‘16 320’0 -16’0

 

The USDA report did a lot of damage to the corn market today. The report showed corn stocks well within the range of estimates. Stocks were pegged at 7.808 billion bushels, which was about as expected but still 58 million bushels higher than last year at this time. The big surprise came from the prospective plantings number for corn, which was at 93.6 million acres vs. 89.972 average estimates and well above 87.999 million acres last year. Remember, these are just prospective numbers and is the market warning the farmer that they need to trim down their corn planting expectations in 2016. 20 years data shows final planted acres are down 1.5% from what is reported in the March report.

 

Wheat stocks were at 1.372 billion bushels, a bit higher than 1.356 billion average estimates. The wheat planted acres appear to be switching to corn from last year. Wheat acres are projected to be at 49.6 million acres, down from 51.702 average estimates and down 5 million from last year.

 

Soybeans

CBOT Prices Two Rivers Cash Bid Prices
Mar ‘16 910’6 +1’6 Mar ‘16 851’0 +2’0
May ‘16 917’6 +1’4 Apr ‘16 851’0 +2’0
Jul ‘16 920’4 +2’0 May ‘16 851’0 +2’0
Nov ‘16 924’6 +1’6 NC ‘16 855’0 +2’0

 

Soybeans actually finished higher, telling the farmer they need to consider switching more acres to soybeans from corn. Soybean stocks were reported at 1.531 billion bushels, 25 million lower than expected. Soybean acres were estimated to be at 82.2 million acres vs. 83.057 million average estimates and 82.65 million last year.

March 31, 2016