Overall, there weren’t many surprised in the May WASDE report. However, there were a few including the hard-to-explain 325 mb reduction in new-crop corn exports. Wednesday’s report can be viewed as bearish for corn, neutral for soybeans and mixed for wheat. Both U.S. domestic and global corn stocks for 2021-22 are higher than predicted in pre-report estimates, while global wheat stocks are to grow only modestly in 2021-2022, by an amount less than expected in pre-report estimates and despite record global production.
July KC wheat closed down 19 3/4 cents Wednesday, pressured by rain in the forecast for the U.S. southwestern and Southern Plains. Meanwhile, July soybeans finished up 27 3/4 cents at a new contract high, happening even before USDA released its reports for the day.
Livestock trade was mostly higher on the day led by feeder cattle. Overall, a fairly choppy session in the ag markets on Wednesday. Get full recap of the May WASDE report here: https://americanagnetwork.com/2021/05/usda-may-wasde-report-summary/
Farm and Ranch Director Jesse Allen has our closing report: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406
Also, more market analysis with Jesse Allen and Mike Zuzolo of Global Commodity Analytics on today’s episode of Market Talk:
https://open.spotify.com/episode/1ffWD42R3sKstzXlYC5EEA?si=_c17plzES820yaBSkaz9cg
