Feb 13 (Reuters) - A U.S. government report offering the first look at this year's crop s is expected to show farmers in the United States planting the largest area with corn since World War Two amid high prices and favorable weather.
The U.S. Agriculture Department baseline report, due out midday Monday, has historically had little impact since it is based on data from November and not on surveys from farmers that will be used for the more authoritative estimates issued in March.
The baseline projections will be updated by the USDA with more current data on prices and economic conditions at its annual Outlook conference on Feb. 23 and 24.
Grain traders are keeping an eye on the baseline report this year -- not because they expect it to be a better yardstick for the crop, but because they believe hedge funds and other new investors may still use it as a trading point.
Forecasts for big crops of corn, wheat and soybeans in the world's top food producing nation will help bolster expectations that global grain stocks will rise this year and quell any inflationary spike in prices .
Farmers are expected to plant 94.2 million acres with corn because of highly profitable corn prices and due to a mild and dry winter likely spurring an early sowing season. Soybean plantings are expected to rise slightly from last year.
The U.S. Agriculture Department baseline report, due out midday Monday, has historically had little impact since it is based on data from November and not on surveys from farmers that will be used for the more authoritative estimates issued in March.
The baseline projections will be updated by the USDA with more current data on prices and economic conditions at its annual Outlook conference on Feb. 23 and 24.
Grain traders are keeping an eye on the baseline report this year -- not because they expect it to be a better yardstick for the crop, but because they believe hedge funds and other new investors may still use it as a trading point.
Forecasts for big crops of corn, wheat and soybeans in the world's top food producing nation will help bolster expectations that global grain stocks will rise this year and quell any inflationary spike in prices .
Farmers are expected to plant 94.2 million acres with corn because of highly profitable corn prices and due to a mild and dry winter likely spurring an early sowing season. Soybean plantings are expected to rise slightly from last year.
