Cash strategist 2/12/20
The U.S. market is starting to look forward to the upcoming production season. The main focus right now is on possible acres and potential production. This happens every year, but this year we may see more emphasis on balance sheets as the United States will need to produce large crops to prevent a shift in corn and soybean inventory.
Corn plantings in the United States are expected to increase to 95 million acres this year compared to 90 million last year. Given a normal reduction, this would leave the United States with roughly 86 million acres for harvest. If corn yield is similar to last year, new crop production would total around 14.4 billion bushels. This compares to the 13.66 billion bushels of corn that were produced last year. While a sizable increase, this production will be needed to satisfy demand.
Current corn demand is projected at 13.9 billion bushels, according...
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