NASHVILLE, T.N. (NAFB) – The February World Ag Supply and Demand Estimates Report from USDA took traders by surprise, especially regarding projected corn exports. Joe Vaclavik, Founder and President of Standard Grain in Nashville, Tennessee, says traders expected the projection number to be much higher.

He says it’s important to keep in mind that the USDA is still projecting record corn and soybean exports for the marketing year. While many in the industry might think the USDA was “low-balling” the projections, Vaclavik says the lower number is understandable.

He says balance sheets and ending stocks numbers are always a moving target when it comes to projecting exports. Vaclavik says the soybean numbers were bullish, even though overseas demand for U.S. beans is about to drop.

Looking ahead, Vaclavik says the biggest market influencer after the weather will be the planting intentions report in late March.