Progressing harvest pulls wheat futures to four-month lows

Recap for June 23

• Grain and soy complex futures ended sharply lower Thursday. Traders disregarded effects of recent Russian missile attack on Ukraine grain export facilities, choosing instead to focus on the slowing global economy and its potential segue toward demand destruction. Progressing winter wheat harvest also added pressure to wheat futures. Latest weather forecasts continued to support beneficial weather for Midwest corn crop, adding weight to those futures. Soybean futures fell 3.7% on softening crude oil prices and waning export demand. July corn fell 21¼¢ to close at $7.46¾ a bu. Chicago July wheat tumbled 39¼¢ to close at $9.37¼ a bu. Kansas City July wheat sank 34¼¢ to close at $10.05 a bu. Minneapolis July wheat dropped 25½¢ and closed at $10.80½ a bu. July soybeans plunged 59½¢, closing at $15.93¼ a bu. July soybean meal lost $5.70 to close at $426.70 per ton. July soybean oil dropped 2.95¢ to settle at 67.71¢ a lb.
• US equity markets ended higher Thursday despite continued congressional testimony from Federal Reserve Chairman Jerome Powell that an economic recession may be likely. But a new report from the Labor Department showed unemployment remained historically low. A rise in unemployment numbers is one of the first signs of a weakening economy. The Dow Jones Industrial Average advanced 194.23 points, or 0.64%, to close at 30,677.36. The Standard & Poor’s 500 Index gained 35.84 points, or 0.95%, to close at 3,795.73. The Nasdaq Composite jumped 179.11 points, or 1.62%, to close at 11,232.19. 
• US crude oil declined on Thursday. The July future lost $1.92 to close at $104.27 per barrel.
• The US dollar index strengthened Thursday.
• US gold dropped on Thursday. The June contract declined $8.60 to settle at $1,825.70 an oz.  

Recap for June 22

• Wheat futures ended mixed but mostly lower Wednesday. Advancing winter wheat harvest and favorable weather in Northern Plains weighed, but a Russian missile strike on a Ukrainian grain terminal in the port city of Mykolaiv tempered losses and helped Chicago wheat futures close mixed. Corn futures firmed in the nearby month on short-covering, but later months were pressured by favorable weather forecasts. Soybean futures were pulled lower by falling crude oil prices; soybean oil futures fell to their lowest price in over three months. July corn rose 7¼¢ to close at $7.68 a bu, but later months were lower. Chicago July wheat gained 1¼¢ to close at $9.76½ a bu, but later months were mixed. Kansas City July wheat slipped 2¢ to close at $10.39¼ a bu. Minneapolis July wheat dropped 11¾¢ and closed at $11.06 a bu. July soybeans fell 28¼¢, closing at $16.52¾ a bu. July soybean meal notched $1.10 gain to close at $432.40 per ton, but later months were lower. July soybean oil lost 2.71¢ to settle at 70.66¢ a lb.
• Statements by Federal Reserve Chairman Jerome Powell triggered US equity markets to slip lower on Wednesday. During his testimony before the Senate Banking Committee, Chairman Powell said the Fed’s necessary efforts to bring down surging inflation might possibly lead to an economic recession. The Dow Jones Industrial Average dropped 47.12 points, or 0.15%, to close at 30,483.13. The Standard & Poor’s 500 Index lost 4.90 points, or 0.13%, to close at 3,759.89. The Nasdaq Composite declined 16.22 points, or 0.15%, to close at 11,053.08. 
• US crude oil dropped on Wednesday. The July future lost $3.33 to close at $106.19 per barrel.
• The US dollar index weakened Wednesday.
• US gold declined on Wednesday. The June contract ticked down $0.30 to settle at $1,834.30 an oz.  

Recap for June 21

• Wheat futures ended sharply lower Tuesday. Progressing US and European wheat harvests as well as growing endeavors to export grain out of Ukraine pressured wheat futures to their lowest levels in nearly three months. Corn futures fell 3%, pulled lower by beneficial cooler weather forecasts for Midwest crops during crucial pollination periods. Weighed down by the grains markets, soy complex futures were also lower. July corn fell 23¾¢ to close at $7.60¾ a bu. Chicago July wheat plunged 59¢ to close at $9.75¼ a bu. Kansas City July wheat tumbled 63¾¢ to close at $10.41¼ a bu. Minneapolis July wheat sank 51¾¢ and closed at $11.17¾ a bu. July soybeans lost 21¢, closing at $16.81 a bu. July soybean meal dropped $6.80 to close at $431.30 per ton. July soybean oil declined 0.42¢ to settle at 73.37¢ a lb.
• Rebounding from their worst week in two years, the US equity markets ended sharply higher Tuesday after being closed on Monday in observance of the Juneteenth federal holiday. Energy and growth stocks soared higher as a selloff of US government bonds pushed the yield on the 10-year US Treasury note up to 3.3%. Investors were wary of the surge as they awaited potential indicators of forthcoming monetary policy from Federal Reserve Chairman Jerome Powell’s congressional testimony later this week. The Dow Jones Industrial Average soared 641.47 points, or 2.15%, to close at 30,530.25. The Standard & Poor’s 500 Index jumped 89.95 points, or 2.45%, to close at 3,764.79. The Nasdaq Composite surged 270.95 points, or 2.51%, to close at 11,069.30. 
• US crude oil advanced on Monday. The July future added $1.09 to close at $110.65 per barrel. 
• The US dollar index weakened Monday.
• US gold declined on Monday. The June contract lost $1 to settle at $1,834.60 an oz.  

Recap for June 20

• Wheat futures ended sharply lower Friday, pressured by winter wheat harvest progress and a strengthening US dollar, which had weakened earlier in the week. Both corn and soybean futures softened as traders positioned themselves ahead of a three-day weekend but still kept an eye on extended hot and dry weather and its potential impact on crops. July corn deleted 3¾¢ to close at $7.84½ a bu. Chicago July wheat plunged 44¢ to close at $10.34¼ a bu. Kansas City July wheat tumbled 43½¢ to close at $11.05 a bu. Minneapolis July wheat sank 39½¢ and closed at $11.69½ a bu. July soybeans lost 7½¢, closing at $17.02 a bu. July soybean meal advanced $8.40 to close at $438.10 per ton. July soybean oil dropped 2.55¢ to settle at 73.79¢ a lb.
• Closing their worst week of losses since March 2020, US equity markets ended mixed on Friday, ahead of the Juneteenth holiday when markets were closed. Investors weighed the odds of a recession as the economy adjusts to steepening monetary policies. The Dow Jones Industrial Average dropped 38.29 points, or 0.13%, to close at 29,888.78. The Standard & Poor’s 500 Index notched upwards 8.07 points, or 0.22%, to close at 3,674.84. The Nasdaq Composite jumped 152.25 points, or 1.43%, to close at 10,798.35. 
• US crude oil tumbled Friday. The July future fell $8.03 to close at $109.56 per barrel. 
• The US dollar index strengthened on Friday.
• US gold declined on Friday. The June contract lost $10.10 to settle at $1,835.60 an oz.  

Recap for June 16

• Wheat futures ended higher Thursday, supported by a weakening US dollar and strengthening export opportunities. Corn futures firmed as prolonged hot and dry weather underpinned a potential risk to the crop. Soybean futures rose on technical buying. July corn gained 14¼¢ to close at $7.88¼ a bu. Chicago July wheat jumped 28¼¢ to $10.78¼ a bu. Kansas City July wheat advanced 15¼¢ to close at $11.48½ a bu. Minneapolis July wheat notched 7¾¢ higher and closed at $12.09 a bu. July soybeans gained 15¾¢, closing at $17.09½ a bu. July soybean meal added $12.20 to close at $429.70 per ton; later months were mixed but mostly  higher. July soybean oil lost 1.33¢ to settle at 76.34¢ a lb.
• After further processing Wednesday’s Federal Reserve 75 basis point interest rate hike, reality set in and US equity markets plunged Thursday, erasing all gains from Wednesday’s relief rally. The DJIA dipped below 30,000 points for the first time since January 2021.Recession concerns grew as the Fed, needing to lean into more aggressive monetary policies, struggled to tamp down surging inflation. The Dow Jones Industrial Average sank 741.46 points, or 2.42%, to close at 29,927.07. The Standard & Poor’s 500 Index fell 123.22 points, or 3.25%, to close at 3,666.77. The Nasdaq Composite plunged 453.06 points, or 4.08%, to close at 10,646.10. 
• US crude oil climbed higher Thursday. The July future gained $2.28 to close at $117.59 per barrel. 
• The US dollar index declined on Thursday.
• US gold jumped higher Thursday, as investors exited higher-risk markets like equities. The June contract gained $30.40 to settle at $1,845.70 an oz.  

Recap for June 15

• US equity markets began Wednesday’s session with hopeful but choppy trading before soaring and ending sharply higher after Federal Reserve Chairman Jerome Powell announced the next interest rate increase will be 75 basis points. While it was the largest interest rate increase since 1994, many investors were expecting the Feds to take this position. Chairman Powell said he expected forthcoming rate increases between 50 and 75 basis points would be necessary to quell surging inflation. The Feds approved a 50 point basis hike last month. The Dow Jones Industrial Average jumped 303.70 points, or 1%, to close at 30,668.53. The Standard & Poor’s 500 Index advanced 54.51 points, or 1.46%, to close at 3,789.99. The Nasdaq Composite surged 270.81 points, or 2.50%, to close at 11,099.15. 
• Wheat futures ended lower Wednesday, pressured by bouts of technical selling and the progressing US winter wheat harvest. Corn futures were mixed with a strong cash market supporting the nearby contract. Soybean futures were pulled lower by weakening export demand. July corn lifted 5¾¢ to close at $7.74 a bu, but later months were mixed. Chicago July wheat slipped ¼¢ to close at $10.50 a bu. Kansas City July wheat declined 9¢ to close at $11.33¼ a bu. Minneapolis July wheat dropped 7¼¢ and closed at $12.01¼ a bu. July soybeans lost 4¾¢, closing at $16.93¾ a bu. July soybean meal added $6.50 to close at $417.50 per ton; later months were mixed but mostly higher. July soybean oil deleted 0.31¢ to settle at 77.67¢ a lb.
• US crude oil declined again on Wednesday. The July future fell $3.62 to close at $115.31 per barrel. 
• The US dollar index weakened on Wednesday.
• US gold futures rose on Wednesday. The June contract added $5.80 to settle at $1,815.30 an oz.  

Recap for June 14

• Grain and soy complex futures ended lower Tuesday, weighted down by the tumbling financial markets and the threat of economic recession. Wheat harvest and seasonal selling also brought pressure to wheat futures. Traders watched weather reports and its potential impact on the Midwest corn crop but felt a short burst of strong heat might prove beneficial for growth. A round of technical selling pulled soybeans futures lower. July corn slipped 1¢ to close at $7.68¼ a bu. Chicago July wheat tumbled 20¾¢ to close at $10.50¼ a bu. Kansas City July wheat fell 19½¢ to close at $11.42¼ a bu. Minneapolis July wheat dropped 13¼¢ and closed at $12.08½ a bu. July soybeans declined 9¢, closing at $16.98½ a bu. July soybean meal lost $4.10 to close at $411 per ton. July soybean oil deleted 1.23¢ to settle at 78.28¢ a lb.
• After Monday’s massive sell-off, US equity markets ended mixed on Tuesday. The S&P500 dipped further into bear territory while the Nasdaq managed to capture modest gains. Investors braced for Wednesday’s Federal Reserve announcement on the next interest rate increase. Analysts expected the Feds to pursue a minimum 75 basis point advancement to help the nation combat 40-year high and broad-reaching inflation. The Dow Jones Industrial Average fell 151.91 points, or 0.50%, to close at 30,364.83. The Standard & Poor’s 500 Index lost 14.15 points, or 0.38%, to close at 3,735.48. The Nasdaq Composite added 19.12 points, or 0.18%, to close at 10,828.35. 
• US crude oil declined on Tuesday. The July future dropped $2 to close at $118.93 per barrel. 
• The US dollar index strengthened on Tuesday.
• US gold continued to fall on Tuesday. The June contract lost $18.50 to settle at $1,809.50 an oz.  

Recap for June 13

• Still reeling from last week’s inflation report, US equity markets fell sharply on Monday. The S&P 500 index officially sank into bear market territory, dropping more than 20% below its recent high set in January. The Nasdaq shed nearly 5%, reaching its lowest level since September 2020. With inflation showing no sign of easing, investors reasoned the Federal Reserve’s next interest rate hike would likely be well above the previously promised 25 to 50 basis point range. The Fed will determine the official percentage increase during their meeting this week. The Dow Jones Industrial Average tumbled 876.05 points, or 2.79%, to close at 30,516.74. The Standard & Poor’s 500 Index fell 151.23 points, or 3.88%, to close at 3,749.63. The Nasdaq Composite plunged 530.80 points, or 4.68%, to close at 10,809.23. 
• Wheat futures ended mostly flat on Monday as traders assessed supply along with production and export challenges around the globe, which included calculating how much Ukrainian grain was lost to Russian shelling as well as evaluating impact of extreme heat blasting Europe’s major crop-growing areas. Corn futures ended mixed on broad selling and concerns of hot weather affecting the US crop’s growing conditions. Soybean futures tumbled on broad-based selling. July corn slid 4¢ to close at $7.69¼ a bu, but later months were mixed. Chicago July wheat rose ¼¢ to close at $10.71 a bu. Kansas City July wheat slipped ¾¢ to close at $11.61¾ a bu, but later months were mixed. Minneapolis July wheat added ¼¢ and closed at $12.21¾ a bu; later months were mixed but mostly higher. July soybeans sank 38¢, closing at $17.07½ a bu. July soybean meal fell $14 to close at $415.10 per ton. July soybean oil declined 1.30¢ to settle at 79.51¢ a lb.
• US crude oil rose on Monday. The July future added $0.26 to close at $120.93 per barrel. 
• The US dollar index advanced on Monday and was approaching a two-decade high.
• US gold fell sharply Monday. The June contract sank $43.50 to settle at $1,828.00 an oz.  

Recap for June 10

• Fresh data indicating domestic inflation was still growing despite surging prices and recent interest rate hikes sent US equity markets tumbling on Friday. After its release Friday morning, investors digested the Labor Statistics’ Consumer Price Index report, which showed inflation rose from 8.3% in April to 8.6% in May. The Dow Jones Industrial Average fell 880.00 points, or 2.79%, to close at 31,392.79. The Standard & Poor’s 500 Index sank 116.96 points, or 2.91%, to close at 3,900.86. The Nasdaq Composite plummeted 414.20 points, or 3.52%, to close at 11,340.02. 
• Wheat futures ended mixed on Friday, reacting to the US Department of Agriculture’s supply and demand and crop production reports. Kansas City futures notched gains after the USDA lowered its hard red winter wheat production estimate to 582 million bus, down from 590 million bus in May, and below the average trade estimates. Corn futures edged slightly higher as traders kept an eye on weather conditions impacting crop progress. Soybean futures fell from 10-year highs. July corn ticked up ¼¢ to close at $7.73¼ a bu. Chicago July wheat slipped ½¢ to close at $10.70¾ a bu, but later months were mixed. Kansas City July wheat rose 8¾¢ to close at $11.62½ a bu. Minneapolis July wheat declined 2½¢ and closed at $12.21½ a bu; later months were mixed but mostly lower. July soybeans fell 23½¢, closing at $17.45½ a bu. July soybean meal added $1.60 to close at $429.10 per ton, but later months were mixed. July soybean oil declined 1.82¢ to settle at 80.81¢ a lb.
• US crude oil edged lower Friday. The July future deleted $0.84 to close at $120.67 per barrel. 
• The US dollar index strengthened again on Friday.
• US gold futures rose sharply on Friday. The June contract jumped $22.70 to settle at $1,871.50 an oz.