Another Red Morning for Grains

Ahead of 9 a.m. CT, March and May corn, soybean, and wheat contracts were in the red again this morning.

March corn was down 7¼¢ at $4.75¼ per bushel. May corn was down 7¾¢ at $4.89¼.

March soybeans were down 6¾¢ at $10.22¼ per bushel. May soybeans were down 7¼¢ at $10.40¼.

March CBOT wheat was down 13¢. KC wheat was down 9½¢. Minneapolis wheat was down 7¾¢. May CBOT wheat was down 12¼¢. KC wheat was down 9½¢. Minneapolis wheat was down 7¢.

“Fresh headwinds were blowing once again for the commodity sector overnight as traders worry about a global economic slowdown tied to trade disruptions and tariffs,” said Arlan Suderman, chief commodities economist at StoneX. “But there are fundamental factors at play as well. Dry areas of Argentina are now worrying about flooding from excessive rains. Wet areas of Brazil that slowed soybean harvest and corn planting have dried out, although producers there are starting to worry about the dry leaning of the forecast going forward. The extreme cold that threatened winter wheat in both Russia and the U.S. has passed. 

“All of this takes place following an extended period of managed money buying, and those buyers are now growing nervous as near-term chart signals turn lower. Corn prices set the tone last fall that supported the upward trend of grain and oilseed prices, and corn prices are setting the tone now to [the] downside.… Traders will look to USDA’s Agricultural Outlook Forum on Thursday and Friday for fresh fundamental news, including indications of what the agency expects in the way of crop yields and planted acreage for the coming growing season.”   

April livestock were mixed shortly ahead of 9 a.m. CT. Live cattle were up 88¢ at $195.98 per hundredweight (cwt). Feeder cattle were up $2.38 at $274.40 per cwt. Lean hogs were down 65¢ at $86.75 per cwt.

April crude oil was down 37¢ at $70.33 per barrel.

The U.S. Dollar Index March contract was down to 106.25.

March S&P 500 futures were down 24 points. March Dow futures were up 102 points.

Published: 9:37 a.m. CT