Wheat futures closed higher Tuesday, boosted by concerns about escalating Russian and Ukrainian attacks in the Black Sea region, while corn gained and soybeans ended lower.
Wheat futures rebounded from Monday’s losses as traders added risk premium amid continued threats to grain shipping and export infrastructure in the Black Sea. The decline in U.S. spring wheat conditions also provided support, with USDA rating 53% of the crop good to excellent, down five percentage points from the previous week. September Chicago wheat gained 4 cents to $6.78, while September Kansas City wheat rose 9 ¼ cents to $7.33. September Hard Red Spring was 13 cents higher at $7.08, and September Minneapolis closed 12 cents higher at $7.04 ¼.
Corn and soybeans were initially pressured by better-than-expected weekly crop condition ratings from Monday’s USDA report. Corn was rated 67% good to excellent, down only one point when traders had expected a larger decline. However, the advances in wheat helped pull corn higher, while technical buying also supported prices. September corn added 3 ¼ cents to $4.52 ¾, and December gained 2 ¼ cents to $4.75 ¼.
Soybeans were unable to follow corn and wheat higher. USDA raised the good-to-excellent rating by one point to 66%, compared with market expectations for a decline, easing immediate concerns about crop stress. Forecasts for additional rainfall in parts of the central United States also weighed on prices, although warmer and drier conditions remain possible later in the month. September soybeans fell 5 cents to $12.10 ½, while November lost 3 ½ cents to $12.22 ¾
