Soybeans, Corn, Wheat Futures Forecast to Open Higher on Supply Concerns

(Bloomberg) – What follows are opening calls for U.S. grain and oilseed markets.

— Soybean futures may open 5 cents to 7 cents a bushel higher on the Chicago Board of Trade on speculation that dry weather curbing production in Argentina and Brazil will prompt Chinese importers to buy more from the U.S., Don Roose, the president of U.S. Commodities Inc. in West Des Moines, Iowa, said in a telephone interview. Soybean-oil futures are expected to open 0.35 cent to 0.4 cent a pound higher, and soybean-meal futures may open 50 cents to $1 higher per 2,000 pounds.

— Corn futures are called to open 3 cents to 5 cents a bushel higher in Chicago on speculation that a U.S. government report tomorrow will confirm smaller crops in South America, boosting global demand for U.S. inventories, Roose said.

— Wheat futures may open 2 cents to 4 cents a bushel higher on the CBOT, the Kansas City Board of Trade and the Minneapolis Grain Exchange on speculation that cold weather later this week may damage crops in Russia and Ukraine, Roose said.

WHAT TO WATCH: (ALL TIMES NEW YORK)
10:30 a.m. DOE oil, gasoline inventories
1:30 p.m.  California fuel production, inventories
2 p.m.     USDA daily hog, cattle slaughter estimates
3 p.m.     USDA weekly broiler eggs set in incubators

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MARKETS (AS OF 9:49 A.M. NEW YORK TIME):
                              Last      %Chg
Corn                         $6.47       0.7
CBOT Wheat                   $6.66       0.6
Soybeans                     $12.3825    0.5
Soybean Oil                  $0.5255     0.7
Soybean Meal                 $326.50     0.3
WTI Crude Oil                $99.72      1.3
N.Y. Gasoline                $2.9385     0.4
U.S. Dollar Index            78.526    -0.06
S&P 500                      1,350.18    0.2

To contact the reporter on this story:Jeff Wilson in Chicago at jwilson29@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net