GRAIN HIGHLIGHTS : Top Stories of the Day

TOP STORIES:

Corn Export Inspections Fall

Inspections of U.S. corn exports fell in the week ended March 4, after jumping the week before and despite adverse weather hammering competing South American production.

In its weekly export inspection report released Monday, the U.S. Department of Agriculture said that export inspections of U.S. corn totaled 1.5 million metric tons for the week ended March 4. That's down from a revised 2 million metric tons for the previous week.

Wheat Futures Slide On Strong Dollar

Wheat for May delivery fell 1% to $6.46 1/2 a bushel on the Chicago Board of Trade on Monday, as a stronger U.S. dollar makes American grains less competitive.

Wheat inspections for export rose, but futures prices slid mainly because of a strong dollar, Jack Scoville of Price Futures said. Fears of losses in production because of lower-than-usual temperatures are already priced in, Mr. Scoville said. "The actual damage will take some time to see under warmer temperatures, and it might take until harvest to see the full effects of the recent extreme cold," he said. "We are affected by the higher U.S. dollar and the fact that early harvest is underway in the southern Great Plains."

US Grain Exports Gain From Bad Weather In South America -- Market Talk

1212 ET - The USDA revises up corn and soybeans export inspections data for the week ending February 25, as markets remain focused on adverse weather in South America helping US sales, Terry Reilly from broker Futures International tells WSJ. "We see corn exports gradually increase out of the US and that's probably limiting some losses in the corn market," while soybeans are also benefiting from late harvest in Brazil, he says. The USDA reports 1.5M metric tons of corn and 588K metric tons of soybeans inspected in the week ended March 4. Corn futures slip 0.6% and soybeans rise 0.6%. ([e-mail]; @ptrevisani)

STORIES OF INTEREST:

Unseasonal Rain Keeps Hurting Brazil's Soy Production -- Market Talk

0927 ET - Excessive rain keeps hammering Brazil's soy farms, with only 35% of this year's production harvested as of last Thursday, down from 49% a year ago and the lowest level for the period since the 2010/11 crop, Brazilian agricultural consultancy AgRural says. "Precipitation worsens the delay that has been going on since the sowing season, which was hurt by lack of humidity," AgRural says. Excess humidity now is also creating a transportation problem, as grains need more time to dry, leading to longer waiting time for truckers. Soy rises 0.9%. ([e-mail]; @ptrevisani)

Soy Prices Helped By Dry Weather In Argentina, For Now -- Market Talk

1404 ET - Rain is expected to help Argentina's soy crop starting next week, but for now dry weather boosts soybean prices and futures rise 0.5%. RJ O'Brien expects rain to substantially reduce dry areas in the South American nation, but notes that "forecast confidence (is) low given erratic models." Besides the weather, high inflation in Argentina is likely to divert potential exports to domestic consumers, further reducing supplies for global trade. Meanwhile, the USDA says inspections for exports of soybeans dropped last week to nearly half the level seen the week before. ([e-mail]; @ptrevisani)

THE MARKETS:

Livestock Prices Edge Higher -- Market Talk

1527 ET - Hog prices tick up as traders expect China to increase imports to refill reserves depleted by swine flu, after the Chinese government said last week it would work to stabilize production. Meanwhile, cattle slaughter in the US is seen as slowing, following an uptick earlier this year as domestic demand got a boost from the Covid-10 vaccine rollout and fiscal relief. Hog futures for April delivery gain 0.1% with live cattle closing up 0.3%. ([e-mail]; @ptrevisani)

(END) Dow Jones Newswires

03-08-21 1715ET