Winter wheat is the midday leader with noted short profit taking in pre-report action.
Corn trade is flat to 1 cent lower with quiet midday trade ahead of the March WASDE report at 11 with trade trying to forge a low with a new one scored fractionally this morning. The WASDE report is expected to show a carryout of 1.735 billion bushels, with world at 309.2 million metric tons, down slightly. South America crop progress looks to remain on track for corn. Ethanol margins remain supported by the softer corn futures, while the energy complex has retreated today with ethanol futures down to $1.30.
Corn basis will be supported by ongoing weather issues nearby with Gulf offers struggling. Early planting is going in the south as well with weather concerns likely to build in the north into March with flooding in the mid-South causing problems now and an active month expected moisture wise along with the cold temps.
On the May chart, support is at the $3.64 1/2 low scored today, followed by the $3.63 1/4 contract low. Resistance is at the $3.73 10-day moving average.
Soybean trade is 4 to 5 cents lower with trade seeing pressure ahead of the report despite seeing 664,000 metric tons of sales to China confirmed on the daily wire. Meal is $0.50 to $1.50 lower and oil is 5 to 15 points lower.
The WASDE report is expected to show carryout at 897 million bushels, down slightly with world at 106.2 million metric tons down slightly as well. South America weather should maintain the recent pattern in the coming days with Brazil harvest moving along and normal progress in Argentina. Crush margins remain strong overall. Trade progress has not added much news the last few days.
On the May chart support is at the $8.97 low printed this morning with resistance at the $9.11 10-day moving average.
Wheat trade is 3 cents lower to 5 cents higher with the winter wheats leading after the spreads went the other direction yesterday with trade still trying to forge a low. Export news has been quieter lately. The dollar has come back to 97.35 on the index making new highs on ECB easing before fading this morning.
The WASDE report is expected to show carryout at 1.02 billion bushels, up slightly from last month, and world stocks at 267.7 million metric tons, up slightly from last month. Cold weather is expected to keep some stress on the plains in the near term with good snow cover for the most part, and spring wheat planting likely to start slow this year.
On the May KC chart support is low at $4.27 fresh low with resistance at the 10-day at $4.42.
The U.S. stock market indices are weaker with the Dow 120 points lower. The interest rate products are mixed. The dollar index is 30 points lower. Energies are weaker, with crude down 1.70 lower. Livestock trade is mixed. Precious metals are mixed with gold up 12.60.