CORN HIGHLIGHTS:

• Corn closed slightly higher today as export inspections revealed Mexico as the top buyer of U.S. corn, followed by Japan and South Korea.
• Managed Money trades continue to liquidate their long position in corn. The Commitment of Traders report from last week showed managed money reducing their net long position by nearly 40,000 contracts, which has brought their net long position to 107,000 contracts, down from 400,000 just a couple of months ago.
• Drought concerns are expected to continue supporting the market, as last week’s drought monitor highlighted worsening dry conditions across much of the Southern Plains. Limited improvements in soil moisture will likely affect crop conditions as planting advances.
• South American weather forecasts have improved with many areas expecting to see some beneficial rainfall, which will help boost corn conditions and development.
• USDA Attache in Mexico City sees Mexico’s corn imports from the US falling for 25/26 as higher local prices are contributing to farmers shifting more acres over to corn.

SOYBEAN HIGHLIGHTS:

• Soybeans were slightly lower to end the day in relatively quiet trade. Concerns over upcoming potential tariffs along with the ongoing Brazilian soybean harvest have put pressure on the market. Export inspections were better than last week, which was supportive. Soybean meal led soybeans lower while soybean oil was higher.
• Today’s export inspections were on the higher side of analyst estimates at 30.2 million bushels for the week ending March 20. This was above last week’s inspections and put total inspections for 24/25 at 1.467 bb, which is up 9% from the previous year.
• In South America, weather conditions have improved in southern Brazil, where 41% of the soybean crop is reportedly filling pods. Argentina has also received more rain as its crop progresses toward maturity, following a relatively dry season.
• Friday’s CFTC report saw funds as sellers of soybeans by 6,461 contracts increasing their net short position to 22,005 contracts. They sold 13,757 contracts of bean oil and bought 11,014 contracts of meal.

WHEAT HIGHLIGHTS:

• Wheat closed lower across the board, pressured by sharply lower Paris milling wheat futures and a strengthening US Dollar Index. Traders are also closely monitoring ceasefire discussions related to the Ukraine war, with talks between US and Russian officials commencing today in Saudi Arabia.
• Weekly wheat export inspections at 17.8 mb bring the total 24/25 inspections figure to 619 mb, which is up 18% from last year. The inspection pace is steady with the USDA’s projection; exports for 24/25 are estimated at 835 mb, up 18% from the year prior.
• IKAR has increased their estimate of 2025 Russian wheat production by 1.5 mmt to 82.5 mmt. In related news, the Russian agriculture ministry reduced their wheat export tax by 23% to 1,847 Rubles per mt – this applies from March 26 to April 1.
• According to the USDA ag attaché to Mexico, corn imports for the 2025/26 season are expected to decline, while wheat imports are projected to rise. The increase in wheat imports is attributed to a forecasted drop in production due to low dam levels in key growing regions. Additionally, rising wheat consumption is expected to further drive the demand for imports.
• The Ukrainian agriculture ministry has announced that the country has planted spring grains on 18% more acreage than last year, covering 250,400 hectares. Specifically, spring wheat planting is forecast to increase by 27% year-on-year.

DAIRY HIGHLIGHTS:

• Class III milk futures start out the week mostly higher thanks to a better spot trade session for cheese. May futures were able to add 18c to close at $17.32.
• Spot cheese posted a positive day, improving nearly 5c to close back above the $1.60/lb level at $1.6250/lb. Whey was unchanged at $0.50/lb.
• Class IV milk futures were little changed on the day due to light volume trading. April and May futures held steady at $18.00 and $18.17 respectively.
• Spot butter gained 2.75c back to close at $2.33/lb. The powder market remains weak, losing 0.25c to close at $1.1425/lb today.
• This week’s news events: Cold Storage report on Tuesday.

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Author

Amanda Brill