By Paulo Trevisani


--Wheat for December delivery climbed 0.7%, to $5.79 1/2 a bushel, on the Chicago Board of Trade on Friday, as markets partially recovered from Thursday losses.

--Corn for December delivery rose 0.4%, to $4.77 1/4 a bushel.

--Soybeans for November delivery rose 0.2%, to $12.96 1/4 a bushel.


HIGHLIGHTS


Better Mood: Thursday's risk-off mood, which was triggered by the higher-for-longer discourse from major central banks, took a back seat today, as grain futures partially rebounded. AgResource said in a note that recoveries in the U.S. energy and equity markets offered support. It warned that "rain across the N Plains and the W Midwest to disrupt the harvest this weekend."

Lows Formed?: As grain futures scored small gains, Summit's Tomm Pfitzenmaier said in a note that lows tend to form at this time of the year. About soybeans, he says some traders believe the USDA's yield estimate is too low. He added that "with export demand from China beginning to improve a little, we may see some buying support." Delayed planting in South America because of dry conditions was also a driver for beans today, Pfitzenmaier said. The USDA's quarterly stocks report due next Friday will be closely watched, he added.


INSIGHT


Energy Costs: Global grain production is likely to match future demand, weakening prices, but a surge in energy costs will limit how much lower food prices go, according to Teucrium's Jake Hanley. "As any farmer will tell you, energy is a large input to food production," Hanley said. Fuel prices are trending higher. "That is going to help support a floor underneath food prices on a longer term basis," Hanley added, noting that government subsidies tend to kick in to help producers deal with shrinking margins.

Stocks Update: Next week's USDA final update on 2022/23 corn, soybean and sorghum stocks could provide some surprises, AgResource said in a report. The firm expects that U.S. corn and soybean stocks are slightly smaller than forecast. "Old crop carryover stocks are still important in defining 23/24 supply availability," AgResource said, while forecasting "a modest cut in U.S. 2023 all wheat production." The report is due Friday.


AHEAD


--The USDA will release its weekly grains export inspections report at 11 a.m. ET Monday.

--The USDA will release its monthly Cold Storage report at 3 p.m. ET Monday.

--The USDA will release its weekly crop progress report at 4 p.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 US Drought Monitor will release its updated map at 8:30 a.m. ET Thursday.

--The USDA will release its quarterly Hogs and Pigs report at 3 p.m. ET Thursday.

--The USDA will release its quarterly Grain Stocks report at noon ET Friday.

--The USDA will release its monthly Agricultural Prices report at 3 p.m. ET Friday.

--The CFTC will release its weekly Commitment of Traders report at 3:30 p.m. ET Friday.


Write to Paulo Trevisani at paulo.trevisani@wsj.com


(END) Dow Jones Newswires

09-22-23 1514ET