Soybeans May Rise on Supply Concern; Grains Forecast Steady

What follows are opening calls for U.S. grain and oilseed markets.

-- Soybean futures may open 10 cents to 12 cents a bushel higher on the Chicago Board of Trade on speculation that smaller crops in South America will increase demand for U.S. exports as Chinese buyers look for supplies, Greg Grow, the director of agribusiness at Archer Financial Services Inc. in Chicago, said in a telephone interview. Soybean-oil futures are expected to open up 0.3 cent to 0.4 cent a pound, and soybean-meal futures may open $3 to $4 higher per 2,000 pounds.

-- Wheat futures may open steady to 2 cents a bushel higher on the CBOT, the Kansas City Board of Trade and the Minneapolis Grain Exchange on speculation that cold, dry weather during the next two weeks may damage crops in the southern U.S. Great Plains, Grow said.

-- Corn futures are called to open steady to 2 cents a bushel lower in Chicago on concern that a government report on March 30 will show that demand eased in the three months ended Feb. 29, and farmers plan to boost acreage to the highest since 1944, Grow said.

WHAT TO WATCH: (ALL TIMES NEW YORK)
2 p.m. USDA daily cattle & hog slaughter

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MARKETS (AS OF 9:31 A.M. NEW YORK TIME):
                              Last      %Chg
Corn                         $6.46      -0.1
CBOT Wheat                   $6.5475     0.1
Soybeans                     $13.775     0.9
Soybean Oil                  $0.5526     0.7
Soybean Meal                 $376.20     0.9
WTI Crude Oil                $106.97     0.1
N.Y. Gasoline                $3.404      0.6
U.S. Dollar Index            79.073     -0.3
S&P 500                      1,407.7     0.8

To contact the reporters on this story: Jeff Wilson in Chicago at jwilson29@bloomberg.net; Whitney McFerron in Chicago at wmcferron1@bloomberg.net.

To contact the editor responsible for this story: Patrick McKiernan at pmckiernan@bloomberg.net

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