By Kirk Maltais
-- Wheat for May delivery rose 2.9% to $6.48 a bushel on the Chicago Board of Trade Wednesday, with colder weather hitting the Midwest that could damage winter wheat crops as harvest season approaches.
-- Corn for May delivery rose 2.4% to $5.94 a bushel, the highest close since July 2013.
-- Soybeans for May delivery rose 1.5% to $14.10 a bushel.
HIGHLIGHTS
Freeze Frame: Colder weather hitting the U.S. Plains this week helped push up CBOT wheat futures Wednesday.
"Wheat will see readings fall very close to damaging levels in portions of the Central and Southern Plains in the next few days as the initial cold surge drops into our nation's midsection," said Arlan Suderman of StoneX. Dryness is hitting Europe and damaging wheat there, he added.
Lower temperatures and frost issues are expected to impact winter wheat and early planted row crops, according to DTN.
Southern Exposure: Dryness in Brazil -- potentially impacting the corn crop -- provided fuel for CBOT grain futures to rally Wednesday.
"There are concerns that late plantings in Brazil could smack into drier conditions later in the season and impact the second corn harvest," said Robert Yawger of Mizuho Securities USA.
Scattered showers are expected to occur in Brazilian crop-growing areas later this week, according to DTN.
INSIGHTS
Corn Crunch: Corn futures trading on the CBOT neared the $6-per-bushel mark Wednesday, the first time since mid-2013 that they've reached that level.
"End users are reaching for tightening supplies which is spurring nearby and summer basis gains," AgResource said, adding that "a demand rationing rally is required in old-crop corn/soybean to assure adequate stocks and that needed imports arrive."
Corn futures have climbed exponentially since last year, with the most-active contract gaining 84% in the past eight months.
Wheat Watchers: More interest among big importing countries in U.S. wheat is likely to be a source of momentum for wheat futures going forward.
Among the countries reportedly interested in purchasing new export tenders include Algeria, the Philippines, Jordan, Japan, and Ethiopia, said Terry Reilly of Futures International.
Fuel Gauge: U.S. ethanol production fell for the week ended April 9, counter to expectations of analysts surveyed by Dow Jones. Production of ethanol totaled 941,000 barrels per day, down 34,000 barrels from the previous week's EIA report. Analysts had expected production to rise, by as much as 96,000 barrels per day.
Meanwhile, ethanol inventories fell as expected, dropping 124,000 barrels to 20.52 million barrels.
AHEAD:
-- The USDA is scheduled to release its weekly export sales report at 8:30 a.m. EDT Thursday.
-- The CFTC is due to release its weekly commitments of traders report at 3:30 p.m. EDT Friday.
-- The USDA is scheduled to release its weekly export inspections report at 11 a.m. EDT Monday.
-- The USDA is due to release its weekly crop progress report at 4 p.m. EDT Monday.
Write to Kirk Maltais at kirk.maltais@wsj.com
(END) Dow Jones Newswires
04-14-21 1534ET
