By: NATHAN STUEDLE
Corn and soybean traders are turning their attention toward Friday's September USDA supply-and-demand report. The September WASDE will provide updated estimates for U.S. and global production, consumption, exports and ending stocks. But the biggest focus will be USDA's latest assessment of this year's corn and soybean crops. Private estimates have increased expectations USDA could lower its corn yield forecast following reports of weaker-than-expected yield potential in portions of the Corn Belt.
Soybean production remains another question as traders assess the effects of late-season weather on pod filling. The August report lowered old-crop corn carryout by 75-million bushels and soybean stocks by five-million. With harvest approaching, even relatively small changes to yield or ending-stock projections could produce a significant market reaction. Friday's report takes on additional importance for producers dealing with tight margins and deciding how aggressively to market grain heading into harvest.