3/7/2023
Mar 07, 2023
After ending last week on a high note, corn and soybeans drifted lower for the second consecutive session. Corn stayed within 3 cents of either side of unchanged, finishing 1-3 lower. Already trading lower on the day, soybeans tried to muster up some support at the 20-day moving average but broke below that level just after 11 a.m. this morning. The USDA did not have any follow-up export sale confirmations this morning after a couple nice corn announcements yesterday. We will get a fresh set of fundamentals for the market to chew on tomorrow at 11 a.m. with March WASDE report. Pre-report estimates show trade is expecting a 41-million-bushel increase to corn ending stocks to 1.307 bln bushels and a small cut in soybean stocks to 220 mln bushels. South American production is expected to drop for Argentina and remain steady for Brazil. After our report is priced in, the market will be back to trading South American weather and will begin discussing the quarterly grains stocks and prospective plantings reports due out at the end of the month.