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Grain markets opened higher with soybeans leading on biofuel demand and soy oil strength. Corn and wheat followed suit on rising energy prices, inflationary buying, tighter supplies, crop concerns from Plains dryness, and war premium adding support through mid-morning
 
U.S. drought improved in the Northeast, Midwest, Ohio/Mississippi Valleys, and parts of Southeast/South due to the recent heavy rains. Dry conditions and low snowpack added to severe/extreme drought conditions in the Southeast, Southern Plains and the West
 
Corn prices are up $3/MT from the U.S. and Argentina's rate is up $5/MT. The U.S. bean price jumped $7/MT while beans from South America are up $5-$6/MT. Wheat moved $1-$2/MT higher from the U.S. while the Russian and Black Sea prices rose $3/MT
 
Plains basis for HRW wheat was unchanged despite forward contracting surge from price rally on geopolitical tensions. Millfeed values were stable after pressure while flour mills see slow trade
 
Soybean basis at the Gulf held steady amid flat demand and Brazilian supply shifts. Midwest elevator and processor bids were mostly flat after recent adjustments with farmer selling easing
 
Corn Gulf basis was mixed with March down slightly and April up. Midwest bids largely flat post-rally following heavy farmer sales
 
Central U.S. sees a cold snap Sunday-Tuesday with Great Lakes blizzard, warming west and dry SW Plains. Southern Argentina gets a rain boost for crops, relief to Buenos Aires. Brazil interior south dry, warm & dry in forecast. Northern Mexico dry and warm biased for 10-14 days
 
Expect solid export sales momentum for corn and soybeans over last week's levels while the March outlooks for feed and oil crops should hold steady from February with minor tweaks for wheat due to large global supplies. Look for lower slaughter numbers than last week's report
 
 
At the pause...
 
Corn is up on rising energy prices and ethanol demand. Beans moved higher on soy oil strength while wheat gained from crop concerns and tighter global supplies
 
May CORN up 5½ cents at $4.65¾
May SOYBEANS up 15¼ cents at $12.29¼
May WHEAT up 9¼ cents at $6.04
 
 

Weekly export sales reported by the USDA this morning show sales for corn, soybeans, and wheat all within expected ranges. Corn sales down 24% vs the week prior, soybeans sales up 19% from the previous week, and wheat sales up 49% from the prior 4 week average

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