The corn crop in the United States is poised to set a new record for average yield. The U.S. Department of Agriculture is forecasting an average yield of 175.4 bushels per acre. The estimate is up 3.6 bushels from the October forecast and up 0.8 bushel from last year.
Following the bearish report, released on Nov. 9, old and new crop corn prices dropped more than six cents on the futures market. Also of note in the report, U.S. corn production is forecast at 14.6 billion bushels, down four per cent from last year but up two per cent from the October forecast.
Soybean production is forecast at a record 4.43 billion bushels, down less than one per cent from October but up three per cent from last year. Based on November 1 conditions, yields are expected to average 49.5 bushels per acre, unchanged from last month but down 2.5 bushels from last year.
In addition to the crop production report, the USDA released the World Agricultural Supply and Demand Estimates report on Nov. 9. Of note, world corn ending stocks for 2017-18 are estimated at 203.86 million tonnes, up 2.9 million from October.
World soybean ending stocks are estimated at 97.9 million tonnes, up 1.85 million from October.
World ending stocks for wheat are estimated at 267.53 million tonnes, down slightly from October’s estimate of 268.13 million tonnes.