USDA experts downgraded the corn planting area forecast in the US

Published 2024년 4월 1일

Tridge summary

The USDA's latest quarterly report has made notable adjustments to the 2024 forecasts for U.S. crop acreage, significantly reducing the expected planted areas for winter wheat and corn, which has led to a sharp rise in their market prices. This reduction was beyond what analysts had anticipated. On the other hand, the forecast for soybean acreage was in line with expectations, reflecting a growing preference among farmers for soybeans due to its higher profitability compared to corn, which is currently facing low prices and large stock levels. Additionally, the report predicts an increase in the acreage for spring wheat and durum wheat, contrary to analysts' expectations for a decrease. Inventory levels as of March 1 were as expected but showed a notable increase from the previous year, affecting the market prices for these crops.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In a new quarterly report, USDA experts cut forecasts for U.S. winter wheat and corn planted acreage in 2024 more than analysts expected, leading to a sharp rise in quotes for those crops. At the same time, the forecast of soybean sowing area meets analysts' expectations. If in February the USDA estimated the area of corn sowing in the USA at 91 million acres, then in March - already at 90.036 million acres, while the forecast of analysts is 91.776 million acres. It will be recalled that last year the USDA forecast was 91.996 million acres, and 94.64 million acres were actually planted. Experts believe that farmers will reduce the area under corn due to large stocks and low prices for it, as well as the higher profitability of growing soybeans. Soybean acreage in February was estimated by the USDA at 87.5 million acres, in March it was 86.51 million acres, while analysts forecast it at 86.53 million acres. Last year, the USDA forecast was 87.5 million acres, but 83.6 million acres ...

Source: Graintrade