The long-awaited January supply and demand figures were more friendly for corn than expected. 

The U.S. corn yield was lowered 3.8 bushels per acre to an average of 172 bushels per acre. This lowered the U.S. crop size by 324 million bushels for a production estimate of 14.18 billion bushels.

The USDA also reduced last year’s carryout by 76 million bushels. Total corn demand was lowered 250 million bushels, with reductions coming to feed, ethanol and exports. 

This is enough to put ending stocks at 1.55 billion...