Update: See results of the April 9 USDA crop production report
U.S. soybean prices moved lower on Tuesday after USDA left unchanged ending stocks for the 2014 crop, which was contrary to trade forecasts that they would be reduced.
USDA did lower ending stocks for corn, as expected, by 50 million bushels to 1.77 million as it raised the amounts going for export and feed use. Corn uses were reduced for ethanol and for food, seed, and industrial purposes.
Wheat ending stocks were trimmed slightly to 691 million bushels as the amount devoted to seed was raised.
In midday trading, soybean futures for May delivery were about 7 cents a bushel lower. Corn for May delivery was down1/2 cent at $3.88 per bushel after having jumped to $3.91 shortly after the report.
The March crop contracts are lightly traded ahead of their Friday expirations.
"The soybean number was a disappointment, which is why that market is softer. With 98% of USDA's forecast for exports either sold or shipped, a change was justified," said Bryce Knorr, Farm Futures senior grain analyst.
Soybean exports were unchanged in the report at 1.79 billion bushels
The USDA crop report left Argentina's and Brazil's soybean crops unchanged at 56 million metric tons and 94.5 million, respectively. Traders had expected an increase in Argentina's crop and a reduction in Brazil's.
Wheat futures turned higher in deferred months with May contracts in soft red winter and hard red winter trading about 3 cents higher after the report.
"Wheat is getting a relief rally because USDA didn't have anything bearish to say," said Knorr. "With prices beaten up so badly, the market has absorbed all of the bad news out there about old crop. Now the focus moving forward will be on new crop, with winter wheat having some problems already and the northern Plains is dry for spring wheat."
March 2015 USDA crop reports: