U.S. Expectations for Grain and Soy Complex Trading

Here’s what to anticipate as grain and soy complex trading resumes at the Chicago Board of Trade at 8:30 a.m. CDT (1330 GMT) on Friday.

Wheat
  • Expected to rise by 1 to 2 cents per bushel.
  • CBOT wheat is anticipated to be firm due to short covering and strategic positioning ahead of the weekend, following a dip to 2-1/2 week lows earlier in the week.
  • Gains may be limited by sluggish export demand and improving U.S. crop conditions after recent rainfall.
  • Forecasters suggest that rain across much of the southern Plains and southern Midwest is likely to enhance harvest prospects for winter crops.
  • CBOT July soft red winter wheat was last up 1-1/2 cents at $5.46 per bushel.
  • K.C. July hard red winter wheat was last up 2 cents at $5.52-3/4 a bushel.
  • Minneapolis July spring wheat was last up 5 cents at $6.12-3/4 a bushel.
Corn
  • Expected to range from up 1 cent to down 1 cent per bushel.
  • Corn futures are narrowly mixed as traders evaluate planting weather in the U.S. Midwest.
  • Underpinning corn prices are robust export sales and supportive spillover effects from the soybean market.
  • Rain and damp soil conditions are projected to potentially impede spring planting in the southern Midwest and Delta regions next week.
  • However, favorable planting conditions are anticipated across a significant portion of the Corn Belt within the next 11 to 15 days.
  • CBOT July corn was last 3/4 cents higher at $4.84-3/4 per bushel.
Soybeans
  • Expected to range from up 3 cents to down 2 cents per bushel.
  • Soybeans are narrowly mixed, having recently reached two-month highs.
  • The market is receiving support from optimism surrounding the potential de-escalation of U.S.-China trade tensions.
  • It has been reported that China has excluded certain U.S. imports from its 125% tariffs and is requesting companies to identify essential goods needed without levies.
  • However, U.S. soy has not been mentioned in the context of Chinese tariff exemptions thus far.
  • Similar to corn, wet conditions are expected to delay spring planting in the southern Midwest and Delta areas next week. Drier conditions are forecast for much of the Midwest in the 11 to 15 day outlook.
  • CBOT July soybeans were last down 1/4 cent at $10.61-3/4 per bushel.