Corn Intentions Below Expectations
Thursday morning’s USDA Prospective Plantings Report appeared to hold some bullish news for the corn market and bearish news for the soybean and wheat markets.
The USDA pegged 2005 U.S. corn planting intentions at 81.41 million acres, versus trade estimates averaging 82.33 million acres in a range from 81.5-83.3 million and last year’s actual plantings of 80.93 million acres.
The USDA pegged U.S. soybean planting intentions at 73.91 million acres, versus trade estimates averaging 73.51 million acres in a range from 72.7-74.5 million and last year’s plantings of 75.21 million acres.
The USDA pegged U.S. all-wheat plantings at 58.59 million acres, versus trade estimates averaging 58 million acres in a range from 57.1-58.7 million acres and last year’s actual plantings of 59.67 million acres. At that level, U.S. wheat acreage would be the lowest since 1972, when only 54.91 million acres were planted.
Other spring wheat planting intentions are 14.371 million bushels, according to the USDA, versus trade estimates averaging 13.759 million, and last year’s plantings 13.763 million acres. The USDA put durum planting intentions at 2.608 million acres, versus trade estimates averaging 2.72 million and last year’s plantings of 2.561 million acres.
Corn futures are called to open 1/2 cent to 1 cent higher, by traders at the Chicago Board of Trade, with old-crop soybean futures seen 3-5 cents higher and new-crop months steady, according to Dow Jones News Service.
Editors note: Richard Brock, The Corn and Soybean Digest's Marketing Editor, is president of Brock Associates, a farm market advisory firm, and publisher of The Brock Report.
To see more market perspectives, visit Brock's Web site at www.brockreport.com.