With the December USDA supply and demand numbers out of the way, the market’s anticipating the next set of USDA numbers out on January 11.
Don Roose, President of U.S. Commodities, tells Brownfield what he’s expecting in next month’s projections, “I think when you go forward, big crops get bigger. On soybeans, in the January report, we look for the yield to go up a half to a bushel, that’s going to help buffer our tightness; that’s been the theme since, really, August. On corn, we think that it was dismal for harvested acres. Harvested acres on this report in January go down a half million to maybe even a million acres, but at the same time we think that the ending stocks won’t change a huge amount because we think the export pace is going to be forced to come down.”
Roose adds weather and its’ impact on South America’s corn and soybean crops will also be a big factor in the January reports.