The USDA Supply and Demand report had a few surprises but the biggest was the 500 million bushel new crop soybean ending stocks figure. This came despite a 119 million bushel drop in production for the 2015-16 crop year. Doug Werling with Bower Trading says he thinks USDA is overestimating that number and that has been their trend the last 12 years.

Old crop soybean ending stocks were actually lowered globally 4 million metric tons and within the U.S. by 20 million bushels.

New crop corn production was lowered by 586 million bushels from 2014. Werling says ending stocks were up from the April report but still slightly lower than trade estimates at 1.85 billion bushels old crop and 1.74 billion new crop.

Wheat stocks were raised on a U.S. and global basis on both old crop and new crop. New crop ending stocks in the U.S. were projected at 793 million bushels, with old crop raised to 709 million bushels.

Global wheat stocks also grew to 201 mmt old crop and 203 mmt for the 2015-16 marketing year.