Planted Wheat Acreage Lowest Since 1909

The report was also bullish for wheat, with U.S. farmers slashing winter wheat plantings by 3.754 million acres to 32.383 million acres, the lowest in more than a century, according to Reuters. Analysts had been expected winter wheat plantings of 34.139 million, a Reuter survey showed. 

January soybeans soared 29 cents, closing at $10.32 on lower production and yield numbers. USDA also cut soybean ending stocks by 2.355 billion bushels 420 million bushels. Chicago March wheat rose 7 2/5 cents at $4.26 1/5 following the report. 

March corn rose 1 cent to $3.85 1/4 following the release of a slew of reports that included the World Agricultural Supply and Demand Estimates and Crop Production Annual Summary. USDA also released , Quarterly Grain Stocks and Winter Wheat Seedings.  

Randy Martinson, an analyst with Martinson Ag Risk Management said the drop in wheat acres was also larger than expected. 

“Everyone was anticipating a drop in winter wheat acres, but we didn't expect this big of a drop,” he said. “You'd have to say wheat is bullish, corn is somewhat neutral and soybean was a little negative. That's how todays' report looked.” 

The report was “neutral for corn,” with concern about reduced wheat acres being replanted with corn. “The report confirmed we have a ton of corn, and one other negative thing those winter wheat acres, will get planted to something, which is why you see November soybeans are not rallying as high as March soybeans,” he said. 

“As far as wheat goes, there might need to put a little premium because there are less acres than expected,” he added. 

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Source: Agri-Marketing

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