Markets
Today’s commodity market news. Featuring expert analysis from Michelle Rook, Jerry Gulke and Pro Farmer Editors.
Jeff Hoogendoorn, with Professional Ag Marketing, says hogs ended mixed Wednesday, consolidating after the recent rally driven by higher cash and cutouts. While soybeans rallied after the Trump/Xi call.
Mark Knight with Farmers Keeper Financial says grains opened higher on news of a call between President Trump and Chinese President Xi then traded on both sides of steady.
Tommy Grisafi of Nesvick Trading says it was a risk on day in the grains as they attempted to add weather premium on the hot, dry extended forecasts. “I feel like these markets have very little if any weather premium.”
USDA projects a $49.5 billion agricultural trade deficit for fiscal year 2025, nearly double the gap from two years ago.
Kevin Duling with KD Investors says corn and soybeans are building on the reversals scored on Tuesday after corn made new lows for the move and then bounced. Wheat is reluctantly following.
Don Roose, U.S. Commodities, says corn and soybeans finally bounced Tuesday after closing lower for several days. He says both markets were adding risk premium and scored reversals.
DuWayne Bosse, Bolt Marketing, says soybeans are higher with news that President Trump and President Xi are going to be meeting soon, and that is pulling up corn.
The report also highlighted severe infrastructure and agricultural stress.
Brian Grete, Pro Farmer Editor, says soybeans roll over and make new lows for the move on China U.S. trade tensions, which weighed on corn.
Brad Kooima, Kooima Kooima Varilek, says cattle rally chasing record cash with the basis historically wide.
The grain markets were lower for the week, except for hard red spring wheat. Jerry Gulke, president of the Gulke Group, says he thinks the pressure was largely in response to this week’s surprising trade developments.
Market outlook broken down into the next 5, 30 and 90 day segments.
Allison Thompson with The Money Farm, says it was a lower week in the grains on a combination of technical selling, weather and trade uncertainty.
Scott Varilek, Kooima Kooima Varilek, says cattle futures are chasing exploding cash early Friday, with more record high prices paid in all areas. Corn and soybeans continue to be weak with mostly favorable weather.
Kent Beadle of Paradigm Futures says, unlike the financial markets, the ag futures did not see the positive reaction to the ITC court ruling declaring the “Independence Day” tariffs as illegal.
Darin Newsom, Barchart, says the financial markets have reacted positively to the International Trade Commission’s court ruling against the Trump tariffs, declaring them unlawful. However, the ag markets are disregarding the news.
Matt Bennett with AgMarket.Net says corn and soybeans saw heavy technical or fund selling pressure on Wednesday, some of it in the grains was tied to weather.
Randy Martinson, Martinson Ag, says wheat is seeing some strength from lower crop conditions,.
Farmers and industry groups fear the duties will exacerbate already high input costs and could lead to shortages.
Arlan Suderman, Chief Commodities Economist with StoneX, says corn and wheat saw pressure from weather, largely disregarding the positive news of EU tariff delays.
Brad Kooima of Kooima Kooima Varilek says cattle futures are seeing some early weakness despite last week’s record cash and neutral USDA Cattle on Feed Report compared to expectations. Corn is down with wheat and mostly favorable weather.
After turning bearish last week, Jerry Gulke, president of the Gulke Group, says he watched the markets all rally without a real fundamental reason for the move.
President Donald Trump announced plans to impose a sweeping 50% tariff on all imports from the European Union starting June 1.
Darren Frye, Water Street Solutions, says the grain markets saw risk off selling tied to President Trump’s threat of 50% tariffs on the EU on June 1.
Scott Varilek, Kooima Kooima Varilek, says ag markets are seeing red with the threat of 50% tariffs on all EU imports.
Naomi Blohm, Total Farm Marketing, says grains markets end mixed with a lack of news and after hitting chart resistance.
Mike Minor, Professional Ag Marketing, says corn and wheat futures have had a nice rally off of extremely low price levels hit last week and oversold conditions. However, the markets hare running into chart resistance.
Former Montana Democrat senator and longtime farmer Jon Tester sharply criticized the GOP-led House reconciliation bill and its proposed agriculture provisions.
Mark Schultz, Northstar Commodity, says the rally in wheat has been driven by weather and money flow but wheat, corn and soybeans are running into chart resistance.