June Supply & Demand report

According to the USDAS' June Supply & Demand report we can expect tighter supplies of corn, wheat and soybeans.
The USDA is projecting ending stocks for wheat to be up 10 million bushels from their May report even though they expect world wide production to be down.
Following the report the USDA raised its price estimate for wheat for the 2009/2010 marketing year saying it will range between $4.90 and $5.90 a bushel

For corn, the USDA is expecting ending stocks to tighten, while corn production is projected to fall just short of 12 billion bushels. The USDA is
projecting corn use for ethanol to be flat while feed use will be down. Still the USDA did raise its price estimate saying corn will range from $3.90 - $4.70 a bushel

The USDA report also shows that soybean stocks will tighten even though production this year should top 3 billion bushels. The poblem area for beans is in South America in general and Argentina in particular. Normally Argentina produces 51 1/2 million tons of beans annually, this years crop looks to be only 32 million tons. As a result, the USDA is projecting soybean prices to range from $9.00-$11.00 per bushels

The USDA also revised its milk figures for the 2009/2010 marketing year expecting milk production to be down .9%. As far as milk prices, the USDA is calling for an all milk price this year at $11.95 - $12.35 and a range of $15.10-$16.10 for 2010.