CORN HIGHLIGHTS:

• Selling pressure returned to the front end of the corn market to close out the week, with the September contract posting moderate losses and dragging down the broader grain complex. For the week, September corn fell 10 cents, while December corn declined 8 ¼ cents. Additional weakness in the wheat market contributed to the downward pressure, despite supportive demand news and a softer U.S. dollar index.
• The USDA announced two flash export sales on Friday morning. Sales were announced for unknown destinations buying 125,000 MT (4.9 mb) and 227,160 MT (8.9 mb) of corn for the 2025-26 marketing year.
• New crop corn export demand continues to provide underlying support, as U.S. corn remains highly competitive on the global market. With today’s announced flash sales, U.S. exporters have reported 13 separate sales of old and new crop corn since July 24. Current new crop export commitments rank as the third strongest for this time of year in the past decade.
• The U.S. dollar was lower on the session after the market reacted to a disappointing Jobs report and the announcement of new tariffs. This could signal a lower trend for the U.S. dollar, which should help support corn prices.
• The extended forecast remains mostly supportive of crop development through mid-August. Temperatures are expected to trend slightly above normal, while rainfall chances range from normal to above normal across much of the Corn Belt — conditions that should continue to aid crop progress.

SOYBEAN HIGHLIGHTS:

• Soybeans ended the day unchanged in the front months, while deferred contracts closed slightly higher. November futures took out the previous day’s low every day this week due to bearish weather forecasts and concerns over demand. Soybean meal recovered a portion of its losses while soybean oil followed crude oil lower.
• Ongoing demand concerns are pressuring soybean prices, with current new crop export sales tracking at the weakest level in the past decade. Notably, China has been absent from new crop purchases — an unusual development, as buying typically begins in July.
• China announced another purchase of soybean meal from Argentina. The purchase was for 30,000 MT of soybean meal, which is equivalent to approximately 1.4 mb of soybeans. Soybean meal is at a lower value given the large global supply due to increased global soybean crush.
• For the week, August soybeans lost 37 cents and made a new contract low while November soybeans lost 31-3/4 cents to $9.89-1/4. August soybean meal only lost $0.30 to $267.60 while August soybean oil lost 1.77 to 54.72 cents and posted a bearish reversal.

WHEAT HIGHLIGHTS:

• U.S. wheat posted losses across the board, alongside a lower close for Paris milling wheat. Weakness in the U.S. wheat market was in part driven by the selloff in equities. The stock market fell today after new reciprocal tariffs went into effect, and the weaker than expected jobs report also did not help the situation.
• According to the Buenos Aires Grain Exchange, wheat planting in Argentina is 98% complete and the crop is rated 61% good to excellent. This marks a 10% improvement from the previous report; at this time last year, the crop was only 31% rated GTE. Recent rains have boosted soil moisture levels and contributed to better overall crop conditions.
• SovEcon has reduced their estimate of Ukrainian wheat production by 2.8 mmt to 19.8 mmt; the USDA is sitting at 22 mmt. The reason for the decline is said to be poor yield results so far – reportedly the average yields are the lowest since 2019. In addition, SovEcon decreased their estimate of Russian wheat production by 0.3 mmt to 83.3 mmt for similar reasons.
• The French wheat harvest pace has accelerated due to dry weather. Now said to be 89% complete, this is well above the 63% collected at this time last year, and the average of 78%. And on a bearish note, the European Union as a whole is anticipating a wheat crop that is 17 mmt bigger than last year.

DAIRY HIGHLIGHTS:

• Spot cheese was able to crest $1.70/lb after gaining 2.625 cents on the day. Whey closed out the week on a positive note, improving 1.75 cents to $0.55/lb.
• Class III milk futures were able to see another positive trading day for 2025 contracts thanks to the spot cheese market. September futures saw the largest increase of 14 cents to close out the week at $17.74.
• Spot butter finished 2.75 cents lower to $2.4450/lb while powder lost 0.25 cents to go home at $1.2875/lb.
• Class IV milk futures were steady with all 2025 contracts going unchanged on the day. The November contract leads Class IV prices at $19.49.

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Author

John Heinberg