Further details coming later today

Initial reaction to the report was lower, but markets have rebounded. With beans rebounding 15 cents off their lows from the initial reaction.

Overall the report didn’t provide a ton of change, as the February edition typically doesn’t. The report was fairly neutral for both corn and wheat, and on the tad negative side for beans. But we have had positive price action thus far.

South America

Argentina numbers came in below trade estimates.
Brazil numbers were left unchanged as expected.
Personally we think the Argentina numbers will continue to be lowered going into the future.

U.S. Carryout

U.S. corn carryout saw an increase as expected on a cut to corn used for ethanol exports remain unchanged.
Soybeans a tad bigger than expected as crush was reduced and exports left unchanged.
Wheat came in as expected.

World Carryout

Corn stocks come in below expectations with the shrinking Argentina crop.
Ukraine corn exports saw a bump of 2 MMT to 22.5 MMT.
China imports for corn & beans went unchanged, but saw a slight increase to wheat
Russia & Australia wheat crops saw increases

We will have a full update of our thoughts and what this report really means and what this means for future prices later this afternoon.

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The Numbers