Export and production forecasts set up a tug of war between market bulls and bears. For now, the bulls are winning.
Market analyst Tregg Cronin says the USDA is light on its soybean export forecast. He cites exporters’ commitments to China currently at 97.7 percent of the marketing year projection.
“We’ve got over six months left in the marketing year,” Cronin told an audience for South Dakota Soybean’s virtual AgOutlook, “so sometime in March or early April, we’re going to have sold USDA’s entire export forecast, and we have to get through the end of August.”
For corn, Cronin says prices are supported despite the USDA’s near record 2021 crop projection, which he says is needed just to keep stocks flat, challenging market bears.
