Market Overview
Grain futures traded mixed as wheat rebounded sharply while corn and soybeans remained under pressure ahead of Friday’s USDA WASDE report.
Thursday’s weakness was driven largely by improving weather forecasts for portions of the Western Corn Belt and market reaction to comments regarding potential trade issues with Spain. However, traders appear to be refocusing on fundamentals, with midday weather models turning slightly warmer and drier than earlier forecasts.
🌾 Wheat Markets
Wheat led the grain complex higher, with Chicago soft red winter wheat posting the strongest gains as traders positioned ahead of Friday’s USDA report.
Chicago Wheat
September
Up 12¼ cents
Closed at $6.20
Kansas City Wheat
September
Up 8¾ cents
Closed at $6.54
Minneapolis Wheat
September
Up 8½ cents
Closed at $6.39¼
December
Up 7½ cents
Closed at $6.60¼
🌽 Corn Market
Corn remained modestly lower following Thursday’s sharp correction.
Much of the recent weakness stemmed from improving weather forecasts and concerns surrounding trade comments involving Spain. However, Spain remains part of the European Union, limiting the likelihood of any immediate trade disruptions.
Spain has been an important buyer of U.S. corn and distillers grains, and ongoing drought conditions there could continue to support future demand.
Corn Futures
September Corn
Down 3¾ cents
Closed at $4.31¼
December Corn
Down 4¼ cents
Closed at $4.52
Midday weather models shifted slightly warmer and drier, providing some underlying support heading into Friday’s report.
🌱 Soybeans
Soybeans extended their pullback following this week’s rally despite another export sale to China.
The USDA announced:
130,000 metric tons of soybeans sold to China.
While positive, traders had been hoping for larger purchases.
Soybean Futures
August Soybeans
Down 15¾ cents
Closed at $11.77¾
November Soybeans
Down 10 cents
Closed at $11.82¼
