Corn and soybean futures ended lower on Wednesday as forecasts calling for cool temperatures and additional rainfall across much of the U.S. Midwest improved production prospects. Wheat closed mainly higher on continued military strikes in the Black Sea region
Much of the Midwest is expected to remain favourably cool through the weekend, with temperatures generally staying below 90 degrees F. Forecasts also call for another one to two inches of rain across parts of the central and eastern Corn Belt.
Soybeans are moving through the critical pod-setting and filling stages. Timely August rainfall can help support pod development and yield potential, reducing concern about production losses and limiting the need for additional weather premium in prices. September beans lost 2 ¼ cents to $11.56 ½, and November was down 3 cents at $11.74 ¾.
Corn was also pressured by the prospect of moderate temperatures and rainfall. Although much of the crop has moved beyond pollination, favourable conditions during grain fill can still support kernel development and final yields. On the other side, the USDA reported a private export sale of 120,000 tonnes of U.S. corn to Mexico this morning. September and December corn each fell 5 ½ cents to $4.36 ¾, and $4.60.
Wheat futures mainly moved in the opposite direction, finding support from escalating fighting between Russia and Ukraine and the resulting threat to Black Sea grain exports.
Attacks on ships, ports and export terminals have disrupted agricultural shipments, increased freight and insurance costs and reduced confidence that grain will move normally from the region. Ukraine has also been forced to rely more heavily on alternative routes that can handle only part of the volume normally shipped through its Black Sea ports. September Chicago was up 3 ¾ cents to $6.42 ¼, and September Kansas City added 6 ½ cents to $7.13 ½. September Hard Red Spring added 6 ½ cents to $6.87 ½, while September Minneapolis eased a penny to $6.83 ½.
