By Kirk Maltais

--Wheat for March delivery rose 2.9% to $5.30 1/2 a bushel on the Chicago Board of Trade Friday, in reaction to the winter storm that's expected to drop 1-2 feet of snow on Midwestern cropland.

--Corn for March delivery rose 1.6% to $4.31 a bushel.

--Soybeans for March delivery rose 0.3% to $10.68 a bushel.


HIGHLIGHTS


Storm Surge: Fund traders are moving money out of short positions in CBOT wheat futures, underpinning gains seen in trading on Thursday and Friday morning, said Andrey Sizov of SovEcon. "Wheat prices bounced from recent lows as funds reduced historically high short positions amid growing concerns over Northern Hemisphere weather, with stronger broader commodity markets providing an additional tailwind," Sizov said. Winterkill concerns stemming from the storm moving through much of the U.S. this weekend also contributed to wheat's rise.

High Point: Marketing year highs in export sales of corn and soybeans were reported by the USDA in its weekly report, giving grain futures support this morning. The USDA reported that for the week ended Jan. 15, corn export sales were 4.01 million metric tons for delivery in the 2025/26 marketing year, while soybean sales for 2025/26 were 2.45 million tons. Both are 2025/26 highs, and exceed the high-end of expectations from analysts surveyed by The Wall Street Journal this week.


INSIGHTS


The View Down South: CBOT grain futures are higher, with some traders looking to the status of row crops growing in Argentina. Rainfall is seen as limited in the country's growing areas, which may impact crop yields. "We are seeing more weather concern on Argentine crops with soybean ratings dropping for 2 straight weeks," Consus Ag Consulting's Karl Setzer said. "Corn yield is also being trimmed in Cordoba as well with limited rain in the forecast." How crops fare in South America is a driver for export market prices, in turn affecting CBOT grain futures.

System Shock: Details about this weekend's winter storm was a source of support for grains in the latter half of the holiday-shortened week, AgResource said in a note. "This week's price gains...are based on the bitter cold across the Central U.S. and snow and ice that will form this weekend," the firm. said. Accumulations of snow of around 1 to 2 feet are expected in some Midwestern states, the USDA said in its daily agricultural weather report. East Texas through the Tennessee Valley may also see some freezing rain.

Pressing Pause: The market digested geopolitical whirlwinds this week, ahead of an expected pause in interest rate cuts by the Fed next week. Odds of the Fed holding steady on rates this Wednesday were priced at 97% on CME's FedWatch tool as of Friday morning. Some pundits expect the pause to last for a while, as inflation remains above target and employment doesn't look too bad.


AHEAD:


--The USDA will release its weekly Grain Export Inspections report at 11 a.m. ET Monday.

--The EIA will release its Weekly Petroleum Status Update report at 10:30 a.m. ET Wednesday.

--Valero Energy Corp. will release its fourth quarter earnings report at 6:30 a.m. ET Thursday.

--Tractor Supply Co. will release its fourth quarter earnings report at 6:55 a.m ET Thursday.

--The USDA will release its weekly export sales report at 8:30 a.m. ET Thursday.

Paulo Trevisani contributed to this article.


Write to Kirk Maltais at kirk.maltais@wsj.com


(END) Dow Jones Newswires

01-23-26 1539ET