The latest USDA World Agricultural Supply and Demand Estimate (WASDE) report for corn calls for lower production, increased exports, reduced feed and residual use and larger ending stocks.
Production was revised downward by 49 million bushels on a reduced yield forecast. The new estimate for corn production is 14.78 billion bushels for 2018/19, which would still make it the second largest U.S. corn crop ever.
Meanwhile, ending stocks for corn came in at 1.8 billion bushels, which was also below average trade estimates. As a result, corn prices increased moderately following release of the report on Friday.