Grains and oilseeds are lower on Monday following the overnight session. The U.S. dollar is lower. Crude oil is higher. Stock futures are steady to lower.
CORN
May corn traded a modest 2.25 cents lower to $4.39 ¾ last week after recovering from Tuesday’s sharp selloff. Spillover strength from the wheat market last week helped corn futures rally on Friday, though the market remains in a sideways range.
U.S. corn exports and sales continued to progress at a favorable pace amid strong demand. Private exporters reported the flash sale of 125,000 MT of corn sold to Colombia for the 2025/26 marketing year.
Weather premium in the markets has been hard to come by with mostly favorable conditions in the Southern Hemisphere.
Brazilian consultancy firm AgRural reported that half of Brazil’s Safrinha corn crop was planted as of last week, down from 64 percent a year ago. Progress was right in line with last year in Mato Grosso.
Recent rainfall helped raise Argentina’s corn crop ratings after weeks of declines. The Buenos Aires Grain Exchange reported that 51 percent of the crop was in good/excellent condition, compared to 42 percent the previous week and 28 percent a year ago.
SOYBEANS
Despite Friday’s volatile trade, May soybean futures managed to finish 4.50 cents higher last week at $11.53 ¼, marking a third consecutive week of gains.
Futures fell heading into the morning session on Monday following the Supreme Court’s decision on Friday to strike down President Trump’s tariffs under the International Emergency Economic Powers Act.
Trump later imposed a 15 percent global tariff on Saturday, but the Supreme Court’s decision could reduce leverage against China, threatening the country’s commitment to buy more U.S. soybeans.
Soybeans in Brazil are trading about $1 higher than U.S. soybeans, so the lack of leverage could disincentivize China from sourcing futures U.S. supplies.
Protesters seized a Cargill export terminal in Brazil’s Amazon region, likely affecting shipments during the country’s prime soybean export season.
AgRural reported that 30 percent of Brazil’s soybean harvest was complete as of last week. Progress was behind last year’s pace of 39 percent due to a slower pace outside of Mato Grosso.
WHEAT
May Chicago wheat futures rallied significantly last week, finishing 31 ¾ cents higher at $5.80 ¼. Thursday and Friday’s trade brought higher open interest, suggesting real buying outside of speculative short-covering.
A strong close above the 200-day moving average for a second day is positive, and a pullback could find technical support.
U.S. wheat exports and sales have been slowing recently. Data for the week ending Feb. 12 showed exports remained 21 percent ahead of last season and are on track to meet the USDA’s target.
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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.