By Doug Tenney, Leist Mercantile
Traders will be looking at the upcoming quarterly stocks report on March 28 with much anticipation. January’s quarterly stocks report had traders extremely confused. USDA used an extraordinarily high residual number for corn, which helped to pull ending stocks lower. It was explained that the high number was used to help account for the much higher than normal corn usage of new crop 2012 corn fed during the old crop year that ended Aug. 31, 2012. Its effect could be minimal in coming months with many other factors having much more importance.
Soybean demand continues to be very high in the U.S. crush margins in recent months were near 80 to 90 cents per bushel. U.S. soybean demand has been very high due in part to China’s strong appetite for soybeans. Since last September, USDA has increased U.S. soybean exports as well as domestic crush on multiple occasions.… Continue readingRead More »