By Kirk Maltais
--Wheat for May delivery rose 4.3% to $5.62 1/2 a bushel on the Chicago Board of Trade on Monday amid reports of supply-chain disruptions overseas due to the coronavirus.
--Soybeans for May delivery rose 2.5% to $8.84 a bushel.
--Corn for May delivery fell 0.1% to $3.43 1/2 a bushel.
Coronavirus: Logistical issues in Europe and South America pushed wheat futures higher on hopes that American grains could see an increase in demand. "There is a lack of truck or train drivers, and some regions are suffering from supply issues," AgriTel said. About 370,000 people worldwide have tested positive for the new coronavirus, and many nations are encouraging people to stay home to prevent the spread of the disease.
Oil Slick: Weakness in WTI light sweet crude oil and Brent crude for some of the day put pressure on corn futures. With ethanol margins continuing to look poor, traders see demand for corn being hurt by the coronavirus pandemic. "Corn continues to be the weak leg as ethanol concerns moving forward are a bigger issue for the market than dryness that is starting to show up in Brazil's double crop corn," said Doug Bergman of RCM Alternatives.
Light Volumes: Volume was limited on the CBOT, with many traders unwilling to jump into trading as the coronavirus situation continues to play out. "Few traders want to take on additional risk amid the widening health threat of Covid-19," AgResource said. "Most traders are at home and having to price markets with less powerful trading tools."
South Asia Grains: India is forecast to post record grains production of 292 million metric tons for 2019-20, up nearly 7 million tons from last year due to the above-normal 2019 monsoon, the USDA said. Monsoon rains were 10% higher than average, the agency said. However, it notes that sources report above-normal rains during October at harvest time caused crop damage, which may not be adequately reflected in government estimates. India is the second-largest wheat-producing nation, after China, but it consumes most of its production.
--The EIA releases its weekly update on ethanol production and inventories at 10:30 a.m. ET Wednesday.
--The USDA will release its latest weekly export sales numbers at 8:30 a.m. ET Thursday.
--The CFTC releases its weekly commitment of traders report at 3:30 p.m. ET Friday.
(Lucy Craymer contributed to this article.)
Write to Kirk Maltais at firstname.lastname@example.org