Morning Grain Markets May 22, 2024
Corn and soybeans struggled throughout the day yesterday after Monday night’s crop progress report showed exceptional planting progress last week, putting us closer to the five year average than expected. Wheat spent much of its day testing but failing to break out above the magical $7.00 level in the July, though a late day run allowed the Chicago market to close near its highs. At the end of the session, wheat was up 9, with the Kansas City market adding 5, and Minneapolis up 1. Corn was down 2 cents in both old and new crop, while July beans lost 12 cents with the November board ending 4 lower.
While it is proving difficult to pin down the extent of crop losses in the trouble spots around the world, the cash market has firmed enough to show concern may be building—or at the very least the confidence in supply availability is starting to fade a little. Russian wheat prices have rallied over a dollar a bushel from the mid-winter lows, with many in the country pushing their production estimates into the low 80 mmt range, with thoughts it could be trimmed further if the hotter and drier extended forecast comes to fruition.
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