Corn, wheat and soybean futures all closed sharply higher on Wednesday, with a major boost coming from USDA’s August supply-demand update.
Corn and soybeans rallied after USDA’s first survey based yield estimates came in below its July projections. The average national corn yield was cut to 180.7 bu/acre from 183 bu in July, while soybean yield was lowered to 52.7 bu from 53. Corn was further underpinned by stronger export demand, which pushed projected 2026-27 U.S. ending stocks down to 1.653 billion bu. September and December corn each jumped 20 ¼ cents to close at $4.57 and $4.80 ¾.
Soybeans also advanced sharply despite USDA raising production and ending stocks, as traders focused on the lower yield and continued strength in domestic crush demand. USDA raised projected soybean crush by 30 million bu, while new-crop ending stocks increased only modestly to 320 million bu. September beans added 13 ¾ cents to $11.65 ¼, and November was up 14 ½ cents at $11.83 ¼.
Wheat joined the rally, supported both by spillover buying and escalating Black Sea supply concerns. Ukrainian strikes on Russia’s major grain-exporting port of Novorossiysk disrupted terminal operations Wednesday, while Russian attacks have already sharply curtailed Ukrainian shipments. September Chicago rallied 22 ½ cents to $6.52 ¾, and September Kansas City climbed 21 ½ cents to $7.20 ¾. September Hard Red Spring added 21 ½ cents to $6.82 ½, and September Minneapolis ended 13 ¾ cents higher at $6.73.
