Report a 'bullish surprise'

If you glanced at the markets Thursday, you likely noticed the jump in crop prices - especially soybeans. This was due to the release of the USDA report late in the morning.

After being down, there was plenty of green as the report resulted in a turnaround. Wheat world numbers did not change much, however.

"They did lower the Brazilian crop a little bit and they kept Argentina wheat the same," explained Roy Plote of AgMarket.net.

World corn saw a bit of a drop and the corn yield was lowered to 173 bushels in the U.S. with the previous number at 173.8. Traders were expecting 173.5. Corn carryout was down too.

Soybeans made new highs as the price was up over 30 cents after the report. World carryout was lower than expected for beans and U.S. soybean yields dropped to 49.6 bushels per acre with that number slightly over 50 previously. The average guess was 49.9 so the news was bullish.

"The report did give us a bullish surprise," noted Plote.