By Paulo Trevisani
--Soybeans for January delivery fell 1.3%, to $13.25 a bushel, on the Chicago Board of Trade on Friday, extending loses as weather forecasts looked more auspicious for South American crops.
--Wheat for March delivery rose 0.8%, to $6.02 3/4 a bushel.
--Corn for March delivery rose 0.4%, to $4.84 3/4 a bushel.
Soy Exports: Grain futures remained subdued shortly after the USDA reported flash soybeans export sales, following Thursday's stronger-than-expected weekly numbers. Friday, the agency said private exporters reported 132,000 metric tons of soybeans for delivery to China, plus 198,000 tons to unknown destinations, both in the 2023/2024 marketing year. Soybeans remained weak, even as corn and wheat contracts recovered.
Mood Change: Traders reverted past bets and short-covered corn and wheat positions, Marex's Terry Reilly said. That was behind a recovery from early trade, when those contracts were declining. "Unwinding of long soybean, short corn spreads are supporting corn," he said. He also pointed to reduced estimates for Brazil's second corn crop as boosting prices.
Weather Hit: Weather forecasts turned more favorable for South American crops and traders wondered whether U.S. grains could benefit from higher global demand, both factors weighing down on prices. Total Farm Marketing's Naomi Blohm said in a morning note there were "rumors that China is going to buy more corn," adding it is uncertain whether "the U.S. gets any of that business." She said profit-taking was also playing a role on Friday's trade.
Unclear Benefit: The prospect of added supply weighed on soybean futures, Summit's Tomm Pfitzenmaier said in a report. "If the weather does straighten out in Brazil, rallies are selling opportunities for producers," he said. It remains unclear how much impact any improvement in South American's weather would have on U.S. exports, Pfitzenmaier said.
--The USDA will release its weekly grains export inspections report at 11 a.m. ET Monday.
--The EIA will release its weekly ethanol production and stocks report at 10:30 a.m. ET Wednesday.
--The USDA will release its weekly export sales report at 8:30 a.m. ET Thursday.
--The USDA will release its monthly world supply and demand report at noon ET Friday.
--The CFTC will release its weekly Commitment of Traders report at 3:30 p.m. ET Friday.
Write to Paulo Trevisani at email@example.com
(END) Dow Jones Newswires