Market Overview
Grain markets traded broadly lower as a sharp decline in crude oil and improving weather forecasts pressured corn, soybeans, and wheat.
The biggest outside influence was energy, with crude oil falling more than $4.50 per barrel after comments from the U.S. Treasury Secretary suggested another agreement with Iran could be finalized soon. Lower energy prices weighed on the biofuel outlook and added selling pressure across the grain complex.
Despite the weakness, both corn and soybeans remain above the lows established earlier in the week.
🌦️ Weather Outlook
Weather became less threatening for crop production.
Recent rainfall reached many of the driest areas, including:
Western Iowa
Eastern Nebraska
Additional showers continued to move through those regions after many fields missed earlier rainfall.
Forecast models also moderated the extreme heat that had been expected for mid-August.
While temperatures are still projected to be warm, traders are no longer expecting the intense heat that had previously raised concerns over late-season crop stress.
For now, the market is assuming crop conditions remain generally favorable through the middle of August.
🌽 Corn
Corn futures moved lower as improved weather outweighed supportive demand fundamentals.
However, export demand continues to outpace USDA expectations.
Current export projections suggest USDA is underestimating corn exports by roughly
