Grains and oilseeds are sharply higher on Wednesday following the overnight session. The U.S. dollar is higher. Crude oil is sharply higher. Stock futures are lower.
CORN
May corn traded just 1.50 cents lower to $4.52 ¼ on Tuesday. However, the modest close came after prices rebounded from being 8.50 cents lower earlier in the session. Futures were able to hold above the 100-day and 200-day moving averages.
Volatility in the crude oil market has so far supported grains this week despite Monday’s key reversal.
To no surprise, the USDA left its U.S. corn balance sheet unchanged in this month’s WASDE report. Ending stocks for 2025/26 were steady at 2.127 billion bushels. The current stocks-to-use ratio is sitting at about 13 percent, the highest since the 2019/20 season.
More focus will be on the Grain Stocks and Prospective Plantings report at the end of the month. Eyes are on corn disappearance and the possibility of USDA lowering feed and residual usage, which is currently forecasted at a record.
SOYBEANS
May soybeans traded a modest 5.50 cents higher to close at $12.01 ¾ on Tuesday. Like corn, prices rebounded from their intraday lows.
Soybean oil continued to lead the soybean complex higher overnight. Crude oil and heating oil continue to be in the driver’s seat of the oilseeds rally. Fundamentals have been pushed aside by geopolitical risks the past couple of weeks.
Bunge said the recent spike in oilseed prices has spurred additional farmer selling in North and South America. The crop giant said it’s positioned to adapt to the recent turmoil by shifting which ports it’s moving products through.
Monthly customs data showed that China’s soybean imports for the first two months of 2026 are down 7.8 percent year-over-year and the slowest since 2019.
WHEAT
May Chicago wheat was the weakest among the grains and oilseeds on Tuesday after closing 12.25 cents lower at $5.91. Prices had gapped open lower during the overnight session and continued to feel pressure from Monday’s key reversal.
Prices were able to rebound again last night, with the market retracing yesterday’s losses and climbing back above $6.
The U.S. wheat balance sheet was left unchanged in yesterday’s WASDE report. Ending stocks were steady at 931 million bushels, up 9.4 percent year-over-year and the largest since the 2019/20 season. Global ending stocks are at a five-year high.
India’s agriculture ministry said the country’s wheat production is expected to hit a record 120.2 MMT, up from last season’s 118 MMT.
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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.