US grain futures markets are trading mixed Wednesday morning, with corn steady to 2 cents up, soybeans 6 to 9 cents higher and wheat down 1 to 3 cents.
Corn futures are supported by strong export demand, namely from China and including stronger demand for domestic feed supplies. Limiting buying interest is corn planting occurring in the southern US corn regions. Rainfall recently and more in the forecast for dry areas of the western US Corn Belt will boost soil reserves ahead of planting.
The soybean oil futures rally is pausing at mid-week as soybean meal is rebounding to provide support to the soybean market amid tightening supply concerns heading into spring and summer. Weather leans negative for soybeans.
Argentina will get more rain the next several days and that means the peak in crop stress has likely passed. A dry bias in Brazil the next week will support rapid soybean harvesting and final corn planting. However, rain in April will be erratic and that sets the stage for rising concerns about dryness extending into May.
US winter wheat conditions continue to improve with the solid rains seen the past week and that’s bearish for futures today. Canada will get some rain next week, but little will find its way into the dry areas of the northern US Plains. Wheat futures will continue to look to the corn and soybean futures markets for direction.
Grain and soybean trading during the next week will be dominated by positioning ahead of the USDA’s March 31 estimates of US quarterly stocks and spring planting intentions.