GRAIN HIGHLIGHTS: Top Stories of the Day

TOP STORIES:

Wheat Prices Regain Some Ground

Wheat for March delivery rose 1% to $5.47 1/2 a bushel on the Chicago Board of Trade Wednesday, with traders stopping the contract's selling momentum. Soybeans for March delivery rose 0.9% to $8.92 1/2 a bushel. Corn for March delivery rose 0.9% to $3.83 a bushel.

Wheat futures regained ground, halting a 3% slide to start the week in a technical recovery, with traders seeking to balance the spread between Chicago and Kansas City wheat prices. "There's nothing in the news giving a stimulation," said Dan Hueber of the Hueber Report. The 25 million-bushel reduction in ending supply the USDA projected for U.S. wheat in its WASDE report Tuesday could be seen as bullish--although global inventories are more-or-less stable.

Bunge Sets 2020 Outlook, Expects Lower Agribusiness Results

Bunge Ltd. Wednesday set its financial outlook for 2020, with results in its agribusiness results expected to be down from the year-ago period.

The White Plains, N.Y., trader and processor of crops said U.S.-China trade agreements and crop sizes will determine origination, processing and distribution margins.

The company said it expects full-year per-share earnings to be largely in line with 2019, excluding items such as gain on its stake in Beyond Meat Inc. and the depreciation benefit in the sugar and bioenergy segment.

Corn Traders Hope Strong Ethanol Figures Not a One-Off -- Market Talk

1017 ET - Tuesday's WASDE report from the USDA showed forecast 50 million more bushels of corn being used for ethanol, good news for those wanting to see higher ethanol consumption of corn in the US. Turning attention to today's weekly ethanol production report from the EIA, traders hope to see higher levels of ethanol production sustained this week. " The hope is that this week's numbers will be solid as well and that last week was not just a one-off week," says Tomm Pfitzenmaier of Summit Commodity Brokerage. Ethanol production rose to 1.081M barrels per day in the EIA's previous report. So far today, corn futures on the CBOT are up 0.7%. (kirk.maltais@wsj.com; @kirkmaltais)

STORIES OF INTEREST:

Big Questions Remain Around US-China Trade, Bunge Says -- Market Talk

08:46 ET - The Trump administration has touted the US-China phase one trade deal as a victory for American agriculture that will see China dramatically boost purchases of US food, but grain-trading giant Bunge isn't so sure yet. CEO Greg Heckman says the US-China trade situation remains a big uncertainty for 2020, with questions remaining around the timing of purchases and what goods China will import -- not to mention the potential that China delays some imports due to coronavirus hitting Chinese consumer demand. Bunge shares rise 4% premarket. (jacob.bunge@wsj.com; @jacobbunge)

THE MARKETS:

Cattle Prices Rise While Hogs Extend Losses -- Market Talk

15:34 ET - Livestock futures on the CME finished the day mixed -- with live cattle futures finishing 0.6% higher at $ 1.1785 per pound, while lean hog futures fell 0.7% at 63.775 per pound. For hogs, it's the third session in a row that hog futures fell, making it now 3.7% that the April contract has fallen this week. This comes as data show that the domestic pork market will remain well-supplied through the rest of the year. For cattle, Wednesday's close maintains the April contract at a level last seen in October. (kirk.maltais@wsj.com; @kirkmaltais)


  (END) Dow Jones Newswires
  02-12-20 1747ET
  Copyright (c) 2020 Dow Jones & Company, Inc.

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