USDA supply and demand report supports long term
By Brian Hoops, Midwest Market Solutions, Inc.
The Prairie Star
Corn – The November USDA supply/demand report was a very supportive long term report as the USDA once again lowered the 2006 production forecast as well as tightened the ending stocks forecast.
The USDA estimated the 2006 corn crop at 10.745 billion bushels, down 160 million bushels from last month’s report. Carryover was also lowered from 996 mb from the October report to 935 mb in this report. Total usage remains record strong at 11.790 billion bushels, meaning the U.S. will use over 1 billion bushel more than what it produced in 2006. This is amazing considering the crop in 2006 was the third largest in history.