Grains and oilseeds are lower on Tuesday following Monday’s bearish trade. The U.S. dollar is higher. Crude oil is higher and pushing above $60 a barrel. Stock futures are mixed, with the S&P 500 trading at a record.

CORN
March corn traded 24.25 cents lower on Monday to close at $4.21 ½ a bushel. Prices broke below the low end of their trading range and the October low, ultimately wiping out about four months of trading.

Additionally, futures had their largest daily loss since June 2023. New lows could incentivize additional short selling after speculators were fairly neutral heading into the report.

Yesterday’s WASDE and Quarterly Grain Stocks reports brought higher-than-anticipated stocks estimates, with Dec. 1 stockpiles at a record 13.28 billion bushels. Demand has outperformed expectations, but the USDA continued to find additional corn acres, along with surprisingly high yields.

World ending stocks also increased by about 14 MMT, largely due to the increases for the U.S. and China.

SOYBEANS
March soybeans traded 13.50 cents lower on Monday to close at $10.49 a bushel following the bearish WASDE and grain stocks reports. Prices are testing the bottom end of their newly established range around $10.40.

While not as bearish as corn, soybeans were surprised by higher-than-expected ending stocks for 2025/26, as well as Dec. 1 grain stocks.

Dec. 1 soybean stocks totaled 3.29 billion bushels, up 6 percent from the previous year. Soybean disappearance during the previous quarter totaled just 1.30 billion bushels, marking a 20 percent decline from the previous year.

Soybean oil was the winner for the day after trading higher despite bearish numbers for principal crops. The USDA lowered soybean oil ending stocks due to lower production and higher exports offsetting reduced biofuel usage.

The USDA confirmed Tuesday that private exporters sold 168,000 MT of soybeans to China, and 152,404 MT of soybeans to Mexico for the 2025/26 marketing year.

WHEAT
March Chicago wheat futures finished negative on Monday, trading 6 cents lower to $5.11 ¼. Prices had attempted to break above resistance pre-report. Higher-than-expected ending stocks and negative corn and soybean trade ultimately took prices lower into the close.

Yesterday’s reports were less bearish for the wheat complex, with 2025/26 ending stocks being raised to 926 million bushels, compared to an expected decrease. Exports were left unchanged at 900 million bushels, as the USDA exercises caution on the current shipment pace.

Winter wheat plantings totaled 33 million acres this year down, 0.5 percent from last year, according to the USDA’s Winter Wheat/Canola Plantings report. That was due to a 4.8 percent reduction in white wheat acreage offsetting slightly higher SRW and HRW acres.
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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.