Chicago corn hovered above neutral on Tuesday as the US Department of Agriculture (USDA) projected US new crop stocks at 3.318 billion bushels, the highest in 33 years, while old crop corn stocks were lower than expected.
Soybeans were also mixed, despite sales of old crop beans to China, as the USDA reported higher 2019/2020 ending stocks than expected. Wheat also weakened as Northern Hemisphere crops anticipate beneficial rain and the USDA reported lower-than-expected demand. Chicago Board of Trade most-active corn was up 1-1/2 cents to $3.20 a bushel at 12:11 a.m. (1811 GMT).
July Soybeans were up 1/2 cent to $8.55-1/2 a bushel. Wheat dropped 5 cents to $5.12-1/4 a bushel.
The USDA estimated the 2020/2021 corn supply at the highest since the 1987/1988 marketing year, as falling corn-based ethanol and animal feed demand due to the novel coronavirus pandemic couples with massive planting projections.
But that outlook was offset by lower-than-expected old crop inventories, as the agency adjusted harvested acres and yield from last year's crop.
USDA projected 2020/21 soyabean ending stocks at 405 million bushels and 2020/21 wheat ending stocks at 909 million bushels for 2019/2020, the agency raised it's soyabean stock assessment to 580 million bushels and wheat to 978 million bushels.
Ahead-of-schedule planting across the Midwest continues to weigh on corn and soyabeans, with 67% of corn acres already planted and 38% of soyabeans in the ground, compared to five-year averages of 56% and 23%, respectively. The soyabean market has been supported by Chinese demand. Chinese importers bought at least four cargoes, or about 240,000 tonnes, of US soyabeans, traders said on Monday.
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