Johnson says it is still too early to determine the total acres lost to flooding and how much impact there will be on the size of the 2011 crop. He says given the tight nature of domestic and global ending stocks, he believes the market will look to any source it can find to give it some indication of potential production. Johnson says those companies and the media will be grabbing at any number they can get, but farmers should be careful, and not rely on untested data to make marketing decisions.
In addition to the acreage number Thursday morning, the USDA will be releasing the June 1 grain stocks report. That will give a good indication of just how little grain there will be on hand when the end of the marketing year comes August 31, of this year.
USDA will reveal its projections Thursday morning for both planted acreage for corn and beans as well as grain stocks, as they existed on June 1. The acreage report will help settle some of the uncertainty about flooded acres, even though much of the Iowa flooding from the Missouri River came after June 1.
Source: The FarmGate Blog