- The European Union is forecast to produce 129.7 million tonnes of soft wheat, according to French analyst firm Strategie Grains.
- EU commodity prices could remain high as Chinese demand keeps the global surplus limited.
CHICAGO: Following are US trade expectations for the opening of grain and soy complex trading at the Chicago Board of Trade (CBOT) at 8:30 a.m. CST (1430 GMT) on Thursday.
WHEAT - Down 3 to 5 cents per bushel
Most-active CBOT soft red winter wheat contracts traded close to even overnight after notching new six-year highs on Wednesday, as markets weighed global supply outlook from the Black Sea region and Europe.
Ukrainian milling wheat export prices continue to rally, supported by an upward trend on the Russian market and a decrease in expected global wheat output, analyst APK-Inform said.
The European Union is forecast to produce 129.7 million tonnes of soft wheat, according to French analyst firm Strategie Grains, up from 129.6 million tonnes in its December estimate and 10.4 million tonnes more than the EU produced in 2020.
EU commodity prices could remain high as Chinese demand keeps the global surplus limited, even as harvest prospects improve, Strategie Grains said.
CBOT March soft red winter wheat last traded down 4-1/4 cents at $6.56-1/4 per bushel. K.C. March hard red winter wheat lost 1 cent to $6.24-3/4 per bushel. MGEX March spring wheat was last 1 cent higher at $6.29-3/4 per bushel.
CORN - Even to up 2 cents
The CBOT's most-active corn contract traded just above even overnight as traders continue to digest the impact of US Department of Agriculture's tight assessment of global supply and demand on Tuesday.
Argentine farmers have called off a three-day-old sales strike hours early after the government agreed to free corn exports from a recently decreed limit of 30,000 tonnes a day.
The EU's 2021 corn crop is estimated at 63.6 million tonnes, according to Strategie Grains, up from 63.5 million tonnes in its December forecast and 1.7 million tonnes more than the bloc produced in 2020.
CBOT March corn was last up 1/2 cent at $5.25 per bushel.
SOYBEANS - Up 1 to 3 cents per bushel
CBOT Soybeans traded just above even overnight after falling 0.8% Wednesday, their biggest loss since Dec. 8 as tight soybean stocks reported by the USDA continue to support the market.
China's soybean imports jumped a record 13% in 2020, according to customs data, as crushers ramped up purchases amid improved margins and healthy demand from the country's rapidly recovering pig sector.
More rain is expected across parts of Argentina through the weekend before the areas turn dry again, while Brazil's northern crop-producing regions expect precipitation through the next five days.
CBOT March soybeans were last 1-1/4 cents higher at $14.07-1/2 per bushel.