WHEAT
General Comments: Wheat markets traded higher again early yesterday, then closed near the lows of the day in sympathy with the selling seen in Soybeans. USDA cut demand on the domestic and the export side again in its reports released on Wednesday. It increased the US ending stocks but cut world ending stocks due to reduced Middle east and North African production. The lack of any new war action on Ukraine by either the US or Russia as the situation there remains stable but very tense has bee a reason to sell. It remains dry in the western Great Plains but some precipitation is expected. Ideas had been that the US will have good demand for Wheat as the rest of the northern hemisphere is short production this year but so far demand has been average or less against previous years. Dry weather in southern Russia as well as the US Great Plains and Canadian Prairies caused a lot less production. The lack of production has reduced the offers and Russia has announced sales quotas. Australian crop quality should be diminished. North Africa is very dry.
Overnight News: The southern Great Plains should get mostly dry conditions. Temperatures should average below normal. Northern areas should see mostly dry conditions. Temperatures will average below normal. The Canadian Prairies should see mostly dry conditions. Temperatures should average below normal.
Chart Analysis: Trends in Chicago are mixed. Support is at 765, 761 and 753 March, with resistance at 779, 798, and 802 March. Trends in Kansas City are mixed. Support is at 792, 784, and 773 March, with resistance at 811, 817, and 829 March. Trends in Minneapolis are mixed to up with objectives of 965, 992, and 1005 March. Support is at 935, 927, and 907 March, and resistance is at 965, 972, and 979 March.

Photo by Sandy Ravaloniaina on Unsplash

RICE
General Comments: Rice closed lower on what appeared to be some speculative selling in response to bearish chart patterns. Long grain estimates were left unchanged. It has been a demand led market recently and the weekly export sales report yesterday was very strong. The cash market is showing that domestic mill business is around everywhere. Many producers are not interested in selling but some are selling the current crop and generating some needed revenue. Producer sales are reported to have been way ahead of average early in the marketing year so stocks on hand in first hands are reported to be lower than normal. Mills are showing more interest in the market as previously bought supplies start to run low. The cash market is reported to be relatively strong in moderately active trading as prices have held firm. Ideas are that there is very little Rice left in producer control.
Overnight News: The Delta should get mostly dry conditions. Temperatures should be below normal.
Chart Analysis: Trends are down with objectives of 1471 and 1367 March. Support is at 1471, 1466 and 1461 March and resistance is at 1503, 1525, and 1532 March.

CORN AND OATS
General Comments: Corn traded higher along with Soybeans as both markets reacted to the South American production estimates released by Conab in Brazil and the Rosario exchange in Argentina, then collapsed as speculators sold on ideas the bullish news was in the market and as some US producers sold as well. There is still support as the weather and the new WASDE reports that showed reduced production for South America and no change in the US supply and demand estimates. South American production estimates were lower than USDA by a wide margin. Oats were lower but have broken out to the upside this week. The South American agricultural areas got an inch or less of precipitation and are now turning hot and dry again. Crop losses are becoming more and more of a reality for the Corn market right now. The Soybeans harvest farther north is being somewhat delayed due to wet weather and this might affect planting of the Safrinha crop in Brazil. Planted area there as well as in the US is in question due to the high costs and the lack of availability of inputs for growing a successful crop.
Overnight News: Japan bought 128,000 tons of US Corn.
Chart Analysis: Trends in Corn are up with objectives of 647, 656, and 678 March. Support is at 637, 625, and 623 March, and resistance is at 648, 654, and 660 March. Trends in Oats are up with no objectives. Support is at 735, 725, and 715 March, and resistance is at 771 778, and 784 March.

SOYBEANS
General Comments: Soybeans and the products were higher to start the day as Conab in Brazil and the Rosario exchange in Argentina released sharply lower Soybeans production estimates, but then collapsed on ideas the bullish news was in the market and on some producer selling. Speculators were early buyers and then became sellers. It is possible that the market toped out yesterday at least for the short term. The market had been supported on what appeared to be speculative buying in response the release of the WASDE reports that showed increased domestic demand and unchanged production and export demand. The South American production estimates were cut but not as much as expected by the trade. World ending stocks levels were lower as well. The South American weather remained difficult. Mostly hot and dry conditions are expected for the next week. It will stay very wet in central and northern parts of Brazil. Crop losses are becoming more and more of a reality for the Soybeans market right now.
Overnight News: China bought 108,000 tons of US new crop Soybeans and unknown destinations bioguth 30,000 tons of US Soybean Oil.
Chart Analysis: Trends in Soybeans are mixed. Support is at 1560, 1526, and 1497 March, and resistance is at 1600, 1612, and 1624 March. Trends in Soybean Meal are up with objectives of 477.00 March. Support is at 445.00, 431.00, and 420.00 March, and resistance is at 464.00 470.00, and 478.00 March. Trends in Soybean Oil are mixed to down with objectives of 6170, 5840, and 5400 March. Support is at 6360, 6300, and 6170 March, with resistance at 6560, 6650, and 6690 March.

CANOLA AND PALM OIL
General Comments: Palm Oil was higher yesterday after reports of reduced production and stocks for Malaysia. Demand in Malaysia could improve soon as Indonesia is expected to keep most Palm Oil at home. Indonesia is once again making moves to cut the availability of Palm Oil for export as it seeks to keep more at home for bio fuels purposes. There are still poor production conditions in Malaysia and Indonesia. Traders are mostly worried about demand from India who has been buying Soybean Oil in the US instead of Palm Oil from Malaysia and Indonesia and is also worried about China and its demand for Palm Oil for bio fuels. Canola was lower along with Chicago. Chart trends are mixed.
Overnight News:
Chart Analysis: Trends in Canola are mixed. Support is at 1010.00, 1005.00, and 998.00 March, with resistance at 1040.00, 1048.00, and 1054.00 March. Trends in Palm Oil are mixed. Support is at 5470, 5290, and 5040 April, with resistance at 5700, 5750, and 5800 April.