#USDA Report – Corn Up, Soybeans Down

mgexThe 2016 Prospective Plantings report out from USDA’s National Agricultural Statistics Service (NASS) shows farmers expect to plant more corn and less soybeans this year.

U.S. corn growers expect to plant 93.6 million acres to corn this year, the first increase in corn planted acreage since 2012 and, if realized, will be the third largest corn acreage since 1944.  In contrast, U.S. soybean growers expect to reverse the recent trends, which saw several record-high years. In 2016, growers expect to plant 82.2 million acres to soybeans, a less than one percent decrease from 2015. Farmers also indicated they expect to plant nine percent less wheat and 11 percent more cotton this year compared to 2015.

The MGEX crop call on the report featured Jack Scoville of the PRICE Futures Group and his analysis. “We’re seeing an extreme reaction” in the markets as a result of the report, Scoville noted, expressing shock over the corn number.

Listen to his commentary here: MGEX crop commentary with Jack Scoville