USDA revises old crop demand

Wednesday’s USDA report didn’t tell us a whole lot but did give us new numbers.

“It was interesting to see the selloff in corn,” Merrill Crowley of Ag Trader Talk told The Central Illinois Farm Network. “Early on, they took us down about 20 cents.”

USDA provided demand revisions for old crop, cutting carryout estimates for corn but not for beans. We also got our first look at the new crop balance sheets.

“That was a little bit bearish I’d say, relative to pre-report expectations,” said Joe Camp of CommStock during Wednesday's CIFN Midday Market Update.

New crop supply numbers came in a bit larger than anticipated. USDA did raise corn exports by 100 million bushels but did not touch beans.

Beans stayed strong on Wednesday while the corn sold off. Crowley feels how markets close tomorrow will be more important than how they did today.

“These markets have been super over bought and a correction wouldn’t be out of line,” Crowley noted.

Illinois Crop Production report:

For Illinois, the winter wheat harvested area in 2021 is forecast at 650,000 acres up 130,000 from the previous year. The wheat yield forecast is 74 bushels per acre, up 6 bushels from 2020. Production is forecast at 48.1 million bushels, up 36 percent over last year.