Corn slides to 3-year low after bearish stocks data

|By:, SA News Editor

Corn (CORN -2.4%) and Soybeans (SOYB -3.2%) tumble - with corn hitting a 3-year low - after the USDA reports estimated corn stocks of 824M bushels, off 17% from a year ago, but far higher than trade estimates for 687M. Bean stocks are estimated at 141M bushels, also off 17% from a year ago, but 13% above estimates. Stocks still remain low, but these are old crop numbers, and forecasters are looking forward to a big crop this fall.

Wheat (WEAT -2.7%) stocks of 1.85B bushels were slightly below expectations.

Lower-than-expected feed usage and export demand were behind the big corn number - high prices had pig farmers substituting corn for wheat.

Relevant grain ETFs: JJA, RJA, AGF, DBA, FUD, UAG, DAG, AGA, ADZ, JJS, TAGS, USAG, RGRA, JJG, GRU.