PEI GEC Update

Soybeans managed to post a fairly firm reversal after the USDA stats, however the numbers were really not supportive. The 2017 US bean crop estimate was trimmed slightly, but a larger drop in the export estimate, where 65 million bushels was reduced. Ending stocks were raised by 25 million bushels to 470 million, which was very close to expectations.

USDA WHEAT stats were negative. Winter wheat acres did not drop off as expected. HRW was down about 300,000, but it was expected down a million. SRW acres were up 250,000, versus an expected drop of 150,000, so total winter acres are about even with last year.

USDA stats were a bit negative, with US production in 2017 edged a little higher, and US and world ending stocks higher than expected.
Any price strength will require some SA weather concerns to build and the bigger the problem , the bigger the reaction.