In this morning's USDA Supply & Demand (S&D) Report, the World Agricultural Outlook Board (WAOB) adopted acreage as reported by the National Agricultural Statistics Service (NASS) June 29, but non-survey based yields for corn and soybeans were adjusted "to reflect weather conditions to date." The first survey-based corn and soybean yield will be released by NASS on Aug. 10.
WAOB lowered its corn yield projection by 12% from last month to 146 bu. per acre for a crop of 12.970 billion bushels. The cut to the yield outlook was only partially offset by a reduction to usage to trim 2012-13 carryover more than expected to 1.183 billion bu. -- down 698 million bu. from last month.
WAOB cut its projected soybean yield by 7.7% from last month to 40.5 bu. per acre for a crop of 3.05 billion bushels. While 2012-13 usage estimates were trimmed, the cut to the crop projection still resulted in a 10-million-bu. reduction to carryover from last month to a very tight 130 million bu. -- down 40 million bu. from 2011-12.
USDA trimmed the wheat crop to 2.224 billion bu. -- down 10 million bu. from last month. Traders expected a crop of 2.253 billion bushels. USDA lowered the size of the winter wheat crop and its first survey-based spring wheat estimate came 20 million bu. below expectations at 472 million bushels. USDA's 2012-13 wheat carryover projection of 664 million bu. is down 30 million bu. from last month. Traders expected USDA to raise carryover.