News Details

USDA 2021 March 1 Stocks and Planting Intentions Report Very, Very Bullish limit up across the board!

(Mar 31, 2021)

New contract highs for May corn futures but limit up 25 cents across the board until July of 2022. New contract highs for July 2021 soybean futures and limit up 70 cents across the board thru July of 2022. We have expanded limits on corn tomorrow at $0.40/bu and soybeans at $1.05/bu.

March 1 corn stocks come in slightly below expectations while those for soybeans just a bit above. Wheat stocks came in higher than the trade guess.

All U.S. wheat plantings come in notably larger than trade estimates at 46.358 million acres vs. expected at 44.971, and that was driven by a 1.1 million-acre increase in winter wheat area over the January seedings report. Spring wheat (which was expected to steal acres from corn and soy) comes in just above expectations.

Nothing surprising in the cotton and small grains area. Cotton comes in a hair above expectations at 12.036 million, as does sorghum at 6.940 million acres. Oats and barley a bit lower than analysts thought.

U.S. corn plantings drop well below trade expectations, as do those for soybeans. Area for corn and soybeans is pegged at 178.7 million acres, below the trade expectation for 183.2 million and USDA's outlook of 182 million. That will fall below 2017's record of 180.3 million. If we add the increase in cotton, spring wheat and sorghum acres the total is 1.366 less the 4.5 million acres from pre-report guesses and there are 3.134 million acres that went somewhere else? Maybe canola, sunflower or potatoes?

Maurizio “Moe” Agostino
Moe is the Chief Commodity Strategist. He is responsible for developing plans and assisting clients in the feed, grain and livestock industry to help them protect themselves from commodity price swings. Moe holds a Derivatives Market Specialist (DMS) designation as well as an Honors Degree in Business Administration. Moe has more than 15 years of financial services industry experience.