Oilseed markets moved higher following the release of the USDA’s September crop report on Monday, September 12.
U.S. soybean yield was pegged at 50.5 bushels per acre, about a bushel lower than the average pre-report trade guess and down from 51.9 bu/ac in the department’s August report. The number of harvested soybean acres was also reduced by 600 thousand from last month, while crush was reduced by 20 million bushels and exports were cut by 70 million bushels.
For the bottom line, the USDA pegged soybean ending stocks at 200 million bushels, down 45 million from the August report.
For corn, average U.S. yield was estimated at 172.5 bu/ac, down from 175.4 bu/ac last month, but still in line with trade expectations. Corn ending stocks were estimated at 1.219 billion bushels, with high prices rationing demand — corn exports were down 100 million bushels, feed use was down 100 million bushels, and ethanol use was estimated 50 million bushels lower than last month.
While corn and soybean supplies got tighter, the USDA raised its global wheat ending stock estimates, largely due to Russia’s potentially record-sized crop. World wheat ending stocks were raised 1.2 million tones to 268.6 million tonnes, with a 3 million ton increase for Russia and a 1 million ton increase for Ukraine offsetting production declines in the EU.
Nearby soybean futures were up more than 60 cents/bu half an hour after the report was released, while canola futures were around C$25/tonne higher. Nearby corn futures were up around 9 cents, while Chicago wheat futures were down around 5 cents/bu.
Read the USDA’s September World Agricultural Supply/Demand Estimates here.