Based on increased production and stable demand Goldman Sachs Group has lowered its price forecast for U.S. CBOT corn to $4.25 per bushel from its previous outlook of $4.75 per bushel as it increased its yield forecast to 161 bushels per acre up from its previous estimate of 156 bushels per acre. The U.S. Department of Agriculture (USDA) is currently forecasting an ending corn inventory of 1.959 billion bushels for the 2013/14 marketing year – the highest in nearly 10 years. Goldman has also lowered its price outlook for CBOT soybeans to $10.50 per bushel from $11.00 per bushel but maintains a yield estimate of 43 bushels per acre. The USDA has set its soybean yield estimate at 44.5 bushels per acre making total soybean production forecasted at a record 3.420 billion bushels.
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