The October World Agricultural Supply and Demand Estimates report is better than anticipated.
U.S. oilseed production for 2023/24 is forecast at 120.9 million tonnes, down 1.3 million from last month with lower soybean production, while the crush is up about 10 million driven by higher soybean meal exports.
Senior market analyst with FarmLink Marketing Solutions Neil Townsend says these are just their estimates but they did some work on the global scale for soybeans and took the global ending stocks down by about four to five million tonnes.
He says for corn if there's some momentum on exports or ethanol crush that will help, adding that trade expectations for U.S. corn came in lower at about 2.1 billion which also helps.
It's a mixed story on wheat with an increase in U.S. ending stocks and a smaller exporting program.
Townsend says another factor is that two other key countries had production cuts.
"Kazakhstan was cut by 2 million tonnes down to 13 million tonnes, and Australia was cut from 26 million tonnes to 24 point 5 million tonnes."
He notes both have faced adverse weather.
Another area of interest is Russia where damaging weather has impacted crop quality and their overall numbers.
The October WASDE report can be found here.