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USDA Reports Preview          03/26 09:50

   It's Time for USDA's Prospective Plantings Survey, March Grain Stocks Report

   USDA will issue its annual Prospective Plantings survey and March 1 Grain 
Stocks report at 11 a.m. CDT on Thursday, a combination that gets attention and 
has sparked sizeable price moves in prior years.

Todd Hultman
DTN Lead Analyst

   On Thursday, March 28, USDA will issue its annual Prospective Plantings 
survey and March 1 Grain Stocks report at 11 a.m. CDT, a combination that gets 
attention and has sparked sizeable price moves in prior years.

   PROSPECTIVE PLANTINGS

   With the calendar turned to spring, the new planting season is not far away. 
USDA will release the results of its annual March planting survey on Thursday. 
According to Dow Jones' survey of 18 analysts, USDA is expected to announce 
92.0 million acres of corn plantings, down from 94.6 million acres in 2023. For 
soybeans, 86.3 million acres are expected to be planted in 2024, up from 83.6 
million acres in 2023. For all wheat plantings, 47.7 million acres are expected 
to be planted in 2024, down from 49.6 million acres in 2023.

   Winter wheat plantings are expected at 35.1 million acres, down from 36.7 
million in 2023. Spring wheat plantings are expected at 10.9 million acres, 
down from 11.2 million in 2023. For durum, 1.7 million acres are expected to be 
planted, only slightly lower than last year.

   USDA's March survey has not always succeeded as a predictor of planted 
acres. Weather has been the primary, but not only, challenge to the accuracy of 
this report. In 2020, the ill-timed arrival of COVID-19 resulted in a March 
corn planting estimate that was 6.3 million acres higher than USDA's final 
estimate. In 2023, USDA's March survey underestimated corn acres by 2.6 million 
and overestimated soybean acres by 3.9 million.

   In 2024, DTN's seasonal forecast expects drier weather in April with 
below-normal temperatures in the Eastern Corn Belt. May looks more favorable 
for planting with better rain chances and above-normal temperatures for most of 
the Corn Belt.

   The one thing we can say for the March planting report is that it does get 
plenty of attention and has potential for large price moves, if a surprise pops 
up. Just two years ago, December corn posted a 27 3/4-cent gain after the 
report. In 2021, November soybeans closed up their 70-cent limit on the day of 
the report.

   Dow Jones' survey did not include cotton acres, but it may help to know USDA 
estimated 11.7 million acres of U.S. cotton plantings at the Ag Outlook Forum 
in February, up from 10.23 million acres in 2023. The National Cotton Council, 
on the other hand, estimated 9.8 million acres of 2024 plantings on Feb. 18.

   MARCH 1 GRAIN STOCKS

   USDA's Grain Stocks reports typically don't get the attention they deserve 
from traders, but are the most important pieces of check and balance 
information USDA provides. In the case of corn, actual exports are up 30% in 
2023-24 from a year ago, a little above USDA's estimated pace. Ethanol 
production is also running a little above USDA's estimated pace, up 4.4% in 
2023-24 versus a year ago at this time. Based on early production totals, feed 
demand should be a little lower than a year ago, but cattle-on-feed numbers 
have held above last year's levels, so far. Dow Jones' survey expects USDA to 
find 8.439 billion bushels (bb) of corn on hand March 1, up 14% from a year 
ago. If true, it would be the highest March total in five years and would 
reinforce USDA's 2.17 bb U.S. ending corn stocks estimate.

   For soybeans, actual exports are down 18% in 2023-24 from a year ago, while 
the soybean crush pace is up 4.6% from a year ago. Dow Jones' survey expects 
USDA to find 1.832 bb of soybeans on hand March 1, the highest March total in 
two years. If true, that would be a slightly bullish pace, compared to USDA's 
ending stocks estimate of 315 million bushels (mb) for 2023-24. The difficult 
challenge for soybean demand is trying to figure out China's share, an export 
total that is down 24% so far this season.

   For wheat, Dow Jones' survey expects USDA to find 1.053 bb of wheat on hand 
March 1, up 12% from a year ago and the highest March total in three years. 
Wheat prices continue to be pressured by the lowest export demand in more than 
50 years.

   Register now so you can join us Thursday for DTN's 12:30 p.m. CDT webinar. 
We will discuss USDA's latest numbers and what they mean to markets. Given the 
history of USDA's March-end reports, we have to warn that big price moves could 
follow. Replay links will be provided for viewing at your convenience. Register 
now at: https://ag.dtn.com/24-ag-grain-stocks-wbr

QUARTERLY STOCKS (million bushels)
                3/1/24       Avg      High     Low      12/1/23      3/1/23
Corn                         8,439    8,700    8,129    12,169       7,396
Soybeans                     1,832    1,986    1,740    3,000        1,687
Wheat                        1,053    1,081    997      1,410        941
PROSPECTIVE PLANTINGS
ACREAGE (million acres)                                 USDA
                3/28/24      Avg      High     Low      2023
Corn                         92.0     93.8     90.0     94.6
Soybeans                     86.3     88.0     84.3     83.6
All Wheat                    47.7     50.0     46.6     49.6
Winter                       35.1     38.4     34.0     36.7
Spring                       10.9     11.3     10.1     11.2
Durum                        1.7      1.9      1.1      1.7

   Todd Hultman can be reached at todd.hultman@dtn.com

   Follow Todd Hultman on X, formerly known as Twitter, @ToddHultman1




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