By Kirk Maltais


--Corn for July delivery fell 1.8% to $6.14 1/2 a bushel, on the Chicago Board of Trade on Friday, with the Federal Reserve's meeting next week leading to risk-off trading across markets.

--Soybeans for July delivery fell 1.3% to $14.49 1/4 a bushel.

--Wheat for July delivery fell 0.9% to $6.74 1/4 a bushel.


HIGHLIGHTS


Anticipating the Decision: Questions about what the Fed will do when it comes to interest rates pressured markets across the board, extending into commodities including agriculture. The perception that the U.S. will have a strong growing season also weighed on prices. "Nearly everything we are seeing is the result of a 'risk off' mentality in the market," said Karl Setzer of Mid-Co. Commodities. "The path of least resistance is downward at the present time and this is weighing on futures." At least one more 25-basis-point rate hike is expected from the Fed this year.

Not So Hot: Thursday's low export sales added to the pressure on grain futures as well and kept a lid on them overnight, which extended into Friday's trading session. "Old-crop corn and soybean export sales both disappointed this week," StoneX's Matt Zeller said in a note. "Both fell well short of the trade estimate ranges and last year's comparables, with corn sales at their lowest in three-plus months."


INSIGHT


Corn Flow: The entry of Brazil's new corn crop onto the world market pressured prices there and in the U.S. this week, and looks likely to do so in the coming weeks. "Corn devaluations have become steeper in Brazil this week," John Stewart and Associates said in a note. "Lower demand, the faster pace of the summer crop harvesting and the good development of the second crop are putting pressure on quotations." The country's crop agency Conab reports that 54.8% of Brazil's summer crop has been harvested.

Replenishing the Soil: Traders aren't putting much stock into forecasts of colder weather hitting the U.S. Midwest and Plains next week, with analysts convinced that any slowdown due to cold temperatures and frost will quickly be reversed later in the spring. In fact, replenished soil moisture in many areas will be supportive for many crops and provide a good start to the growing season, said Terry Reilly of Futures International in a note.


AHEAD


-The USDA will release its weekly grains export inspections report at 11 a.m. ET Monday.

-The USDA will release its weekly crop progress report at 4 p.m. ET Monday.

-Canadian National Railway will release its first-quarter 2023 earnings report after the market closes on Monday.


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

(END) Dow Jones Newswires

04-21-23 1554ET