CORN
- Corn futures are sharply higher at midday with prices back near last week’s highs.
- A drier extended outlook for Argentina is aiding corn futures higher to start the week. Argentina’s corn crop was 87% planted as of late last week and still in good condition according to the BAGE. Conditions are expected to deteriorate however over the next two weeks.
- The USDA’s January WASDE and Quarterly Grain Stocks reports, historically one of the most volatile of the year, will be released Friday.
SOYBEANS
- Soybeans are higher at midday on a drier and warmer Argentine forecast over the weekend.
- The next ten days to two weeks will be warm and dry in Argentina with declines in soil moisture and increased crop stress likely. Southern Brazil will also be dry during this stretch while central and western Brazil will be wet with excessive moisture in some regions.
- Rumors of a shift in tariff policy for the incoming Trump administration are helping to rally beans this morning as well. Reportedly the administration team is signaling that tariffs will only be placed on certain sectors deemed critical to national or economic security, not universal across the board as previously stated.
WHEAT
- Wheat futures are double digits higher at midday, gains in the corn and soybean markets and a lower US dollar are adding support.
- The US Dollar Index is sharply lower to start the week after trading to its highest level since May of 2022 late last week.
- Heavy snowfall and freezing rain from Kansas to points eastward disrupted travel over the weekend with snow still falling in the Ohio Valley this morning. The moisture was seen as mostly beneficial to wheat producing areas with snowfall helping to insulate the wheat from an upcoming arctic air blast.
Author
Keegan Madigan