By Kirk Maltais and Paulo Trevisani


--Wheat for July delivery rose 1.2% to $6.35 a bushel on the Chicago Board of Trade on Friday, with the WASDE report predicting U.S. inventories at a 16-year low.

--Soybeans for July delivery fell 1.1% to $13.90 a bushel.

--Corn for July delivery rose 0.7% to $5.86 1/4 a bushel.


HIGHLIGHTS


Large Corn, Soy Supply: The USDA's first look at corn and soybean production and supplies in 2023/24 came in larger than anticipated by analysts and weighed on futures prices. The pressure was somewhat mitigated by the heavy selling of the past week. "Corn and beans were bearish, but I think that's largely baked into values," said Brian Hoops of Midwest Market Solutions.

Less Wheat Than Expected: Wheat inventories will likely drop to a 16-year low as a drought in the Southern Plains is expected to take out a sizable chunk of production, the USDA said. It forecast that ending stocks of wheat would total 556 million bushels and production would settle at 1.659 billion bushels, both below the predictions of analysts surveyed by The Wall Street Journal. "The harvest-to-plant ratio is down from last year with above-average abandonment in Texas, Oklahoma and Kansas," the agency said.


INSIGHT


WASDE Out, Weather In: With the WASDE is done, traders are looking at planting-season weather, Doug Bergman of RCM Alternatives said in a note. "The world is set up to shift from a tight supply situation to a much more comfortable situation, but the weather will need to cooperate somewhat," Mr. Bergman said.


AHEAD


--The USDA will release its weekly grains export inspections report at 11 a.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 USDA will release its monthly Cattle on Feed report at 3 p.m. ET Friday.

--The USDA will release its monthly Chickens and Eggs report at 3 p.m. ET Friday.


Write to Kirk Maltais at kirk.maltais@wsj.com, write to Paulo Trevisani at paulo.trevisani@wsj.com

(END) Dow Jones Newswires

05-12-23 1530ET