Mar 26th 2013
Brad Olson
Grain Marketing Specialist

Wheat Growers will be offering a pre report informational webinar this afternoon at 3 p.m. at various locations. Information will be provided by Tregg Cronin Market Analyst for CHS. Contact your location for details.
Hope to see you all there!

Corn:  As of 7:30- 3 lower

Decent export inspections of 17.2 mbu and pre report positioning pushed corn 7 higher yesterday both old and new crop. Fear that Thursday stocks crop could reveal higher feed use than USDA has been estimating has led to buying. Average trade estimate for planted acres is 97.3 mln and March 1 stocks of 5.030bbu. Technically we ran right up to the resistance of 7.34 that I mentioned yesterday but failed to move past it.  All three of my indicators are bullish now but ultimately the release of Thursday’s crop report will trump technicals.

Soybeans:  As of 7:30- 2 higher

New crop soybeans traded higher yesterday on a Chinese new crop purchase while old crop was unable to hold on to positive territory. Export inspections at 18.4 yesterday above expectations but below last year. Average trade estimates for the USDA stocks and prospective planting report on Thursday are stocks of 947 mbu and acreage of 78.394. Corn to bean spread would not suggest a large scale shift from corn to beans but ultimately planting pace seems like it will influence that more than anything in most years.  I have attached a nc corn to bean chart and as you can see we are at a 2.22 which usually not an area in which you see a shift.

Wheat:  As of 7:30- 1-2 higher

Ideas of damage from cold weather were not enough to keep the wheat market in black yesterday as moisture and a firm dollar kept it in check. Export inspections at 20.7. Average trade estimate for wheat stocks at 1167. Currently Chicago wheat is trading at roughly a 5c discount to corn which would suggest higher wheat feedings. Crop ratings mixed yesterday. Technically both KC and Mn wheat remain bullish all three of my indicators.