Spring planting is all but finished as farmers took advantage of good weather to get the job done. On the heels of their hard work, USDA released its projections for the 2010 crop year. While it appears there are sufficient ending stocks, government analysts are predicting a bumper crop again this year.
Increased production will outpace increased demand for corn and soybeans in the 2010 crop year according to USDA's most recent supply and demand report.
Released this week, the report projects corn production at an all-time record 13.4 billion bushels. USDA predicts stocks of corn will be tighter by the end of August, but a large harvest this fall, combined with softer global demand for U.S. corn, will lead to bigger reserves.
Soybean production is projected at 3.3 billion bushels, down from the record crop produced in 2009. Soybean ending stocks for the crop year are unchanged, but USDA says it expects more beans on hand a year from now.
Total production for wheat is predicted at just over 2 billion bushels. The survey-based forecast of winter wheat production is projected to be down 4 percent, while spring wheat is expected to be lower as yields trend below last year's record levels. USDA reports old-crop wheat stocks were left unchanged.