– In its March WASDE report, the USDA milk production growth forecast for 2023 was increased from the prior month on higher dairy cow numbers. Milk output is expected to be up 0.9% YOY at 103.6bn kgs in 2023 after a 0.1% YOY lift in 2022. Milk production for 2022 was slightly revised downwards at 102.7bn kgs. The 2023 all-milk price forecast was reduced from the prior month to US$0.403/l, down from US$0.503/l in 2022.

The same report failed to provide meaningful direction for grain and oilseed prices with only minor boosts for corn and soybeans following the release. US corn exports were revised downwards, with ending stocks now higher. Global soybeans export demand was better-than-expected, and stocks historically tight. The US wheat outlook was unchanged while global production estimates were lifted marginally higher.