Overview

• The USDA’s August report raised its US corn production forecast to a record 425.26 million tonnes by incorporating agronomic conditions into yield estimates.
• US soybean output was trimmed to 116.82 million tonnes and ending stocks lowered to 7.89 million tonnes, reversing prior market expectations.
• Chicago soybean futures jumped about US$5.50 to US$369.09 after the report as corn and wheat futures slid on rising US stocks.
• Argentina’s Rosario spot soybean prices fell by ARS 5,000 to offers near ARS 385,000 per tonne despite gains in Chicago futures.
• Early-August cuts to Argentina’s corn and soy export duties drove farmer selling that left local exporters net-short and processors with thin inventories.