Iowa's Agricultural Situation
The March World Agricultural Supply and Demand Estimates (WASDE) for the U.S. Department of Agriculture (USDA) show an increase in 1998/99 for U.S. soybean ending stocks by about 59 million bushels. They also show increases in the world’s ending soybean stocks by 121 million bushels, when compared to February’s projections. With little change in the world usage, the stocks-to-use ratio increases to 18 percent. This news, accompanied by increased likelihood of a bumper crop from South America and recent weakness in the oil sector, was not enough bearish news to stop a recent spring price rally.