Markets are trading mixed this morning in a quiet trade with corn and beans able to see a small recovery of yesterday’s losses while wheat is leaking lower again as Russia/Ukraine Black Sea ceasefire talks continue to limit buying interest there.

Managed funds on Tuesday were estimated as net sellers of 15k corn to reduce the net long to 98, net sellers of 7k beans to push the net short out to 31k, and net sellers of 3k wheat to push the net short out to 92k.

Bloomberg released their estimates for the acre report on Monday with the average guess for corn area at 94.4m (90.6 LY) and bean area 83.8m (87.1 LY).

The estimates for quarterly stocks were corn 8.151 bbu (8.352 LY),beans 1.901 bbu (1.845 LY), and wheat 1.215 bbu (1.089 LY).

The U.S. reached deals on Tuesday with Ukraine and Russia that would pause attacks at sea and against energy infrastructure. The U.S. agreed to lift some sanctions on Russia, which would allow more grain to move out of that part of the world and would allow Russia greater access to world wheat markets. Shortly after the agreements were met, Russia and Ukraine accused each other of drone attacks.

Russia said the Black Sea deal was aimed at Moscow making a profit and ensuring food safety.

U.S. energy and agricultural companies are working together to prevent Trump’s plan to implement port fees on China-linked ships, which would add a lot of costs to anyone shipping bulk commodities on Chinese owned or Chinese made ships, ultimately adding 40 cents to as much as $1 per bushel to the cost of U.S. corn or bean exports.

Ukraine said moisture reserves in the country were sufficient for optimal spring seeding.

ADM said they were cutting jobs in their grain trading and oilseed processing division with up to 700 jobs at risk. The actions are part of a previously announced workforce reduction and cost savings plan.

Corn posted a lower low, lower high, and lower close on Tuesday with the market dropping to the lower end of the range that we’ve seen the last few weeks. The market is getting to be a bit oversold, but directional indicators are also getting more negative. There is support near 4.55 and resistance 4.70.

Beans posted a lower low, lower high, and lower close on Tuesday with the market testing support near 10.00 again. The market is oversold after recent losses but has re-entered the downtrend. Support for May is 9.80 and 10.00 with resistance 10.20-10.30.

Corn hit recent lows yesterday as funds liquidated more length ahead of Monday’s report that has risk of showing big acres and the Russia/Ukraine agreements were also bearish for global grain prices. The market is trading near support levels that can likely hold ahead of Monday’s report, but the market is also lacking a catalyst right now to switch managed funds from sellers to buyers. Producers should make sure sales are caught up and look at floors to protect new crop prices.

Beans dropped to recent lows yesterday as South American harvest pressure continues and global supplies are projected record large. With repeated tests of support, the market is expected to push through to the downside at some point. Make sure sales are caught up and buy puts to protect unsold bushels.

Corn mixed

Beans up 1-2