Corn and soybean futures closed mixed for the second straight day on Tuesday, with the nearby May contract higher and new-crop lower. Wheat ended higher.
Support for soybeans came from trader positioning ahead of the monthly USDA supply-demand report to be released on Thursday. A weaker American dollar added to the upside in soybeans as did wet conditions in parts of the Midwest and Plains following flooding rainfall during the latter part of last week. Cool temperatures have slowed drying this week, but things are expected to warm up into the weekend. On the other hand, rising trade tensions between US and China, the top buyer of American soybeans, weighed. US President Donald Trump today pledged to impose a 104% tariff on American imports of Chinese goods beginning tomorrow, after Beijing refused to back down on its retaliatory tariffs. May beans gained 9 ¾ cents to $9.92 ¾, and November lost 3 ¼ cents to $9.77 ¾.
The cool Midwest weather and the likelihood of planting delays offered support to corn, along with ideas the USDA will tighten its 2024-25 US corn ending stocks forecast in Thursday’s supply-demand update. Monday’s crop progress report showed an estimated 2% of the American corn crop planted as of Sunday, on par with the average pace. Trade tensions were a negative price influence. May corn added 4 ½ cents to $4.69, and December slipped a ¼ cent to $4.45 ¾.
Wheat traded both sides of unchanged, ending higher on short covering off weather concerns. Dry weather with unusually warm temperatures are expected across US hard Red Winter country for the next week, adding further stress to crops already hit by dryness. May Chicago wheat was up 3 ½ cents at $5.40, May Kansas City added 2 ¼ cents to $5.61 ½, and May Minneapolis was 7 cents higher at $6.01.
