By Kirk Maltais


-- Wheat for May delivery rose 4.2% to $6.91 a bushel on the Chicago Board of Trade on Friday on reports that Russia may act to establish a floor for world wheat export prices.

-- Corn for May delivery rose 2% to $6.44 3/4 a bushel.

-- Soybeans for May delivery rose 0.7% to $14.31 a bushel.


HIGHLIGHTS


Thinking It Over: Indications that Russia is mulling some temporary measures helped push wheat futures higher.

"There are a couple reports out -- stemming from the Russian Ag Ministry -- that they could halt exports of wheat due to price," said Mike Zuzolo of Global Commodity Analytics. Russia may also temporarily raise their export tariff, he added.

This week, futures have been under pressure thanks to cheap Russian exports, but the country appears to want to limit how low the price goes.


Short-Covering Spree: After a week of shedding long positions, fund traders changed their tack on Friday.

"Short covering has been the theme as wheat and corn pace the rally on a percentage basis," said AgResource in a note.

Wheat led the way after hitting a low Thursday last seen in July 2021, while corn rebounded from a seven-month low earlier this week.

AgResource adds that traders are moving tentatively ahead of the start of the growing season as well as the USDA's prospective planting report due next week.


INSIGHT


Tough Break: Winter wheat in the U.S. is struggling from a lack of moisture, which was also a factor providing support for wheat futures Friday.

"Dryness and drought unfavorable for winter wheat in the southwestern Plains," said agricultural research firm DTN in a note. "Only limited showers in the forecast. Frosts over the weekend may have caused some damage to more advanced wheat."

Data released by the U.S. Drought Monitor Thursday showed lingering areas of exceptional drought in Kansas, Oklahoma, Nebraska and Texas, areas where winter wheat is grown.


Retracing Steps: Although traders took the opportunity to turn around soybean futures, many fundamental issues loom.

This week, concerns about African swine fever re-emerging in China and flagging feed demand pressured soybeans, while Malaysian palm oil prices fell and Argentina crops got some rain.

"Trade still looking for funds to continue to liquidate their net soybean and soymeal long and add to soyoil short," said Steve Freed of ADM Investor Services in a note.


AHEAD


-- The USDA is scheduled to release its weekly grains export inspections report at 11 a.m. EDT Monday.

-- Cal-Maine Foods Inc. is due to release its third-quarter earnings report on Tuesday.

-- The EIA is scheduled to release its weekly ethanol production and stocks report at 10:30 a.m. EDT Wednesday.


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


(END) Dow Jones Newswires

03-24-23 1554ET