Grains remain in risk-off status. Outside friendly influences lack triggers for price buying.

June 2, 2026

Grain Overview

Corn, soybeans, and wheat all spent the overnight session on the defensive. The selling wasn’t tied to any major bearish headline. Instead, the market is struggling with a lack of buying interest, particularly from managed money. That same theme is showing up across the commodity sector this morning, with even the energy markets finding it difficult to attract fresh buyers.

Outside influences are also contributing to the cautious tone. Reports surrounding Iran peace negotiations remain inconsistent, leaving traders unsure how to position themselves. Meanwhile, concerns continue to build over higher energy costs and what they could mean for economic growth around the world.

On the agricultural side, there is little in the current crop outlook to spark aggressive buying. Corn and soybean planting is largely wrapped up, and early-season crop development has generally been favorable. The first condition ratings came in below expectations and below last year’s opening marks, but markets rarely place much emphasis on early June ratings. The real test for the crop still lies ahead, and traders will likely pay much closer attention once the calendar turns toward mid-July.

The Brazilian safrinha corn harvest is getting underway, and it’s become a foregone conclusion that the corn crop will be down 5% from last year, even with increased acreage. Mato Grasso has the largest loss in crop size, currently estimated at 52.6 MMTs. Domestic consumption will be higher due to feed and fuel usage.

In Australia, ABARES has the Australian wheat crop at 26.7 MMTs, the smallest in three years and 10 MMTs below last year’s harvest. Australia has 12% fewer wheat acres, which puts it at its smallest since 2010, at 10.9 million hectares. Australia also planted less canola, with a harvest forecast of 6.2 MMTs, down 20% from last year. Rising fuel and fertilizer costs are to blame due to the Strait of Hormuz being closed for 90 days now.

Demand trends remain mixed. Strong domestic usage is keeping basis levels firm across many interior locations, providing some underlying support to the cash market. Export demand, however, has been less impressive, limiting the market’s ability to generate sustained upside momentum. For now, comfortable crop prospects and a shortage of speculative buying continue to leave the grain complex searching for direction.

Cattle Overview

Yesterday, live and feeder cattle futures pushed sharply higher, but by the close, half the gains were given back. On both live and feeder cattle trading yesterday, inside sessions were created compared to Friday’s range. The cash feeder index was off $6.26 on Monday, putting it at $367.14. When that was released, feeder cattle retreated from their session highs.

Cattle futures, especially feeder cattle futures, have three fronts that they’re worried about. One is increased imports via tariff reductions, New World Screwworm infections are getting very close to Texas, and the drought in cattle country has put pastures in horrible conditions. This is pushing cows and calves to the market, with feedlots having a new supply available earlier than normal.

Friday’s ranges are key for isolating which direction the live cattle trade is to move this week. 242 on the top side, with 238.50 on the bottom side, for range breakout. August feeder cattle need to clear 354.70 on the top side with 346.50 on the bottom side. Moving through those ranges will set up the potential trend for the week.

Any Questions and to inquire about Livestock Risk Protection Insurance Call: 701-222-0221

Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management , Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL . NO LIABILITY on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited. Provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.