What is in this article?:
- Corn, soybean markets reflect uncertainty of crop size
- A problem encountered
• Uncertainty about both acreage and yield prospects for corn and soybeans has contributed to the relatively wide price trading range.
The corn and soybean markets continue to reflect uncertainty about the potential size of the 2013 U.S. corn and soybean crops.
Over the past month, December 2013 corn futures have traded in an $0.80 range and November 2013 soybean futures have traded in a $1.00 range as production expectations shifted up and down.
Uncertainty about both acreage and yield prospects has contributed to the relatively wide trading range.
The USDA’s June Acreage report showed that producers planted or intended to plant slightly more acres of both corn and soybeans than indicated in the March Prospective Plantings report.
The report also showed the difference between planted acreage and expected harvested acreage of corn for grain was larger than average at 8.244 million acres.
On the other hand, the expected difference between planted and harvested acreage of soybeans was smaller than average at 810,000 acres.
Additional information about the likely level of planted and harvested acreage will continue to be available to the market. The USDA has indicated that it will re-survey soybean acreage in 14 states during July and reflect any changes in the August Crop Production report.
Some additional acreage information for both corn and soybeans may also become available through the normal survey process for the August, September, October, and November production reports.
Certified acreage data from the Farm Service Agency (FSA) will also become available and should be reflected in the USDA’s October production report.
Another source of information about the magnitude of planted acreage will be available with the FSA reports of prevented planted acreage. Preliminary estimates are expected next month.