US Corn, Wheat Supplies to Rise as Exports Wane

Posted by Eric Haun
Tuesday, February 09, 2016
U.S. corn and wheat ending stocks will be higher than previously expected at the end of the marketing year due to cuts to already weak demand for U.S. supplies on the export market, the government said on Tuesday.
 
The U.S. Agriculture Department in its monthly supply and demand report also raised its soybean ending stocks outlook due to a slowdown in the pace of crushing at domestic processors.
 
The new domestic supply view for all three commodities came in above the average of analysts' estimates, near the high end of market forecasts.
 
On the global front, wheat ending stocks were raised above the high end of trade expectations, largely due to a 4.0-million tonne cut to usage by China, reflecting that country's policy shift that favors other grains.
 
The market had been dialing in a bearish stocks view, with many analysts citing weak demand and huge supplies as corn and soybean futures fell for four straight days heading into the report. Wheat had fallen for three days in a row, with the front-month Chicago Board of Trade futures contract hitting its lowest in more than a month.
 
USDA pegged global wheat ending stocks for the 2015/16 crop year at 238.87 million tonnes, up from its January forecast of 232.04 million tonnes. Global corn ending stocks were seen at 208.81 million tonnes and soybean ending stocks at 80.42 million tonnes.
 
U.S. wheat ending stocks were raised to a six-year high of 966 million bushels, reflecting a 25 million cut to exports. USDA said increased competition from Canada was hindering U.S. sales. Canadian exports were raised to 22 million tonnes, up 1.5 million from the USDA's January view and above the forecast for U.S. exports.
 
U.S. corn ending stocks were pegged at 1.837 million bushels, with a 50 million bushel cut to exports mitigated by a 25 million bushel increase in usage by the ethanol sector.
 
U.S. 2015/16 soybean end stocks were raised by 10 million bushels to 450 million due to the reduced crush.
 
The USDA also surprisingly raised its forecast for Argentine soybean production to 58.50 million tonnes, up 1.5 million from January and above the high end of the range of analysts' estimates. It left its outlook for Brazil soybean production unchanged at 100 million tonnes compared to the average analyst forecast of 99.43 million.
 
The corn production outlook was raised for both Argentina and Brazil.
 
 
(Reporting by Mark Weinraub; Editing by Andrea Ricci)

Maritime Today


The Maritime Industry's original and most viewed E-News Service

Maritime Reporter June 2016 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Bulk Carrier Trends

Diana Shipping Enters Contract with SwissMarine

Diana Shipping Inc., through a separate wholly-owned subsidiary, has entered into a time charter contract with SwissMarine Services S.A., Geneva, for one of its Ice Class Panamax dry bulk vessels,

Panamax Vessel Demand Keeps Baltic Index Up

The Baltic Exchange's main sea freight index, tracking rates for ships carrying dry bulk commodities, rose on Monday for a fourth straight session as higher demand

Uncertainity Plagues Seaborne Iron Ore Shipments

Chinese iron ore imports account for around two thirds of global seaborne iron ore shipments, making it the key driver of Capesize employment. Clarksons Research Report.

Ports

Morocco Sells 40% Stake in Port Operator in IPO

The Moroccan government raised 1.94 billion dirhams ($197 million) by selling a 40 percent stake in state-owned port operator Marsa Maroc in the country's first initial public offering this year,

New Era of Global Trade with Expanded Panama Canal

The Expanded Panama Canal is now officially open for business.   During the official inauguration ceremony, Panamanian President Juan Carlos Varela and Panama Canal Administrator and CEO Jorge L.

Panama Opens Canal Extension Amid Risk, Cost Issues

Panama opened the long-delayed $5.4 billion expansion of its shipping canal amid cheering crowds on Sunday, despite looming economic uncertainty in the shipping

News

The Odd Trio - HMM, Maersk and MSC

In one of the more bizarre twists in the container shipping market it emerged last week that financially troubled carrier South Korean Hyundai Merchant Marine

Red River Closed after Barge Grounding

The Red River was closed Sunday from mile marker 40 to mile marker 42, after a barge reportedly ran aground and was protruding into the channel near mile marker 41, according to the U.

Norwegian Unions Say 755 O&G Workers Could Strike

About 755 Norwegian workers on seven oil and gas fields could go on strike from Saturday, hitting output from western Europe's top producer, if a new wage deal is not agreed before a Friday deadline,

Logistics

The Odd Trio - HMM, Maersk and MSC

In one of the more bizarre twists in the container shipping market it emerged last week that financially troubled carrier South Korean Hyundai Merchant Marine

Diana Shipping Enters Contract with SwissMarine

Diana Shipping Inc., through a separate wholly-owned subsidiary, has entered into a time charter contract with SwissMarine Services S.A., Geneva, for one of its Ice Class Panamax dry bulk vessels,

Freightgate Announces SOLAS VGM Compliance Solution

Freightgate Inc announced an easy to use, integrated (SSO enabled) solution for International Shippers around the world to comply with the new IMO Requirement to certify VGM (Verified Gross Mass).

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Naval Architecture Navigation Offshore Oil Port Authority Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0852 sec (12 req/sec)