Market News

Quiet, mixed end to the week for soybeans, corn, wheat

Soybeans were mixed, with nearby months ending the week higher. The trade was monitoring the early U.S. planting pace, expecting some delays, and Argentina’s harvest, which is behind due to rain. The Buenos Aires Grain Exchange says 14.5% of the crop has been harvested. Beans continue to wait for any real thaw in the tariff battle with China. There have been conflicting signals from Washington D.C. and Beijing over the past several days as to whether or not negotiations are even happening. The USDA’s next round of supply and demand numbers is out May 12^th and CONAB’s impending update for Brazil is set for May 15^th. Soybean meal was higher and bean oil was lower, with traders unwinding product spreads.

Corn was mixed, closing lower for the week. Forecasts generally had an active weather pattern in much of the Corn Belt into the coming week, delaying planting, but recharging soil moisture ahead of an uncertain growing season. In South America, Argentina’s crop is nearly 30% harvested and the trade is also monitoring second crop development conditions in Brazil. Corn is waiting for any new details on proposed trade deals with key U.S. customers. Mexico bought 235,000 tons of U.S. corn Friday morning, with 130,000 tons for 2024/25 delivery and the remaining 105,000 tons for 2025/26, which kicks off September 1^st.

The wheat complex was mixed, finishing the week with losses. Wheat was watching the rain chances in the Plains, which could hit some of the drier areas. It is likely not enough to break the drought impacting hard red winter conditions, but potentially enough to raise the USDA’s crop condition rating Monday afternoon. Soft red winter is in comparatively better shape and spring wheat planting is ongoing in the northern Plains. Drought is an emerging concern in parts of the northeastern China and an ongoing issue in portions of the Black Sea region in Russia and Ukraine. The trade’s also waiting to see what happens next in Russia’s war on Ukraine. The European Commission estimates European Union wheat production at 126.3 million tons, 200,000 less than the last guess, while leaving exports at 29.8 million tons. France’s AgriMer says 74% of that nation’s soft wheat crop is in good to very good shape, 1% below the previous week.