Grains closed lower after bearish USDA Reports with sharp losses in corn.
USDA raised corn average by 1.4 million acres over the March intensions to 91.5 million acres. Quarterly Stocks for corn were up 890 million bushels over a year ago to nearly 5 billion bushels.
Chip Nellinger, Blue Reef Agri-Marketing, says those numbers combined to push corn into new lows for the move and July under the $4 mark.
He says the higher corn area came primarily from Kansas, Iowa and Minnesota, which accounted for about 1 million acres of the increase.
Soybean acreage fell around 400,000 acres to 86.1 million which was friendly but Nellinger says it doesn’t make a big dent in the balance sheets as carryout built from last year grew by 174 million bushels.
November soybeans managed to hold $11 and he says they would have likely been higher without the double digit losses in corn.
Total wheat acres were down around 260,000 from March but quarterly stocks came in at 702 million bushels, up 132 million bushels from last year adding pressure to prices.
Cattle futures reversed and ended lower on profit taking end of month and end of quarter and with cash only steady in the South at $190 and $1 higher in the North at $198 verses the weighted average.
Hog futures saw short covering and profit taking end of month and quarter and deflected the bearish numbers in the Hogs and Pigs Report.
