Starting with the grains, we're seeing some movement in the market. March corn is slightly down by two and a half cents, sitting at 430 and three quarters. March beans have taken a more significant hit, down seven and a quarter to 1186 and a quarter. On the brighter side, March Chicago wheat is up by two and three quarter cents to 591 and a quarter.
The USDA supply and demand reports have brought some unexpected news for corn. Contrary to analysts' expectations of a small decline, the corn carryout was raised to 2.172 billion. The export numbers remained unchanged, which led to a slight decline in the market. Despite this, there's a silver lining with improved exports and ethanol production as corn hits three-year lows. We're looking for better demand to give the market a much-needed bounce.
Moving on to soybeans, the carryout was raised to 315 million. The USDA has lowered exports, resulting in a 35 million bushel increase in carryout. This isn't the best news for soybeans, and we might see a continued grind lower. Keep an eye on the March contract support at $11.45 and a half, which is crucial right now.
