CORN HIGHLIGHTS:

• The corn market used strength in soybeans and energy markets to push slightly higher as prices consolidated after last Friday’s USDA Crop Production report. December corn gained 3 cents to 533 ¼, while March added 2 ½ cents to 548. September corn closed trade today, gaining 1 ¾ cents to 512.
• The corn market is still digesting the WASDE report on Friday, which decreased both carryout and production for the 2026-27 corn crop. The corn market may be fairly priced according to the USDA information and could be building a sideways pattern going into the early stages of harvest.
• Corn harvest is entering its early stages, 5% complete according to the USDA Crop Progress report last week. Much of the harvest has been in the South but will spread into the Corn Belt over the next few weeks. The market will be watching early yield results and yield variability.
• USDA released the weekly Export Inspections report on Monday morning. For the week ending September 10, inspections total 1.525 MMT (60.1 mb). This was in the range of analyst expectations. Current 2026-27 export sales are 30% of last year, and the market will be watching the pace of shipments going into harvest.

SOYBEAN HIGHLIGHTS:

• Soybeans ended the day higher following Friday’s sharp decline following the WASDE report. Some of today’s support likely came from higher crude oil which supported soybean oil, but funds may also just have been repositioning following last week’s sell-off. Today’s export inspections were also slightly above trade estimates.
• November soybeans ended the day up 7-3/4 cents to $13.04-1/4 with resistance seemingly at $13.35. March soybeans gained 9-1/4 cents to $13.28, October soybean meal gained $3.40 to $350.20, and October soybean oil gained 0.46 cents to 69.65 cents. October crude oil gained $0.64 to $100.68 but moved as high as $104.95 a barrel after Saudi Arabia shut down a critical oil pipeline due to Iranian drone attacks.
• Export inspections were strong for soybeans in today’s export inspections report totaling 24.7 million bushels for the week ending September 10. This put total inspections for 26/27 at 33.6 million bushels, which is down 16% from the previous year at this time. The USDA is expecting exports to be up 11% from last year in total.
• Friday’s CFTC report saw funds as buyers of soybeans by 24,848 contracts which increased their net long position to 266,031 contracts. They sold 8,144 contracts of soybean oil leaving them long 101,768 contracts, and they bought 817 contracts of meal leaving them long 159,558 contracts.

WHEAT HIGHLIGHTS:

• Wheat futures faced pressure today as the market reduced some of the Black Sea risk premium. Looking at December contracts, Chicago wheat closed 3-1/4 cents lower at $7.22, Kansas City wheat fell 6 cents to $7.92-1/2, and Minneapolis spring wheat lost 8-1/4 cents to close at $7.36-3/4.
• Wheat futures turned lower after President Trump said Ukraine and Russia had agreed to halt strikes on each other’s energy infrastructure. Attacks on energy targets have helped push diesel prices to multiyear highs, while disruptions to Black Sea shipping have similarly supported wheat prices.
• Wheat export inspections increased to 456,720 MT last week, up from 431,280 MT the previous week. However, inspections remained well below the 758,391 MT reported during the same week last year, with Japan and Mexico the top destinations for U.S. wheat shipments.
• Wednesday’s Federal Reserve interest-rate decision could influence wheat through its impact on the U.S. Dollar Index. Recent hotter-than-expected inflation data have increased expectations for a more hawkish Fed, which could strengthen the dollar and add pressure to U.S. wheat prices.
• The September WASDE report made no changes to the U.S. wheat supply-and-demand balance sheet. Globally, USDA lowered combined wheat exports from Russia and Ukraine by 4 MMT, with traders expecting further reductions in future reports should Black Sea export disruptions continue.

DAIRY HIGHLIGHTS:

• October Class III traded into new lows on Monday as the lowest close for spot cheese since February pressured the market lower. 
• Blocks were offered 4c lower to $1.42/lb while barrels gave up 2.25c to $1.44/lb. There were 4 loads traded. 
• Powder continues to keep Class IV elevated, with another round of bidding today taking the market up to $1.9950/lb.
• October Class III closed below the $16.00 barrier, down 21c to $15.93.
• News this week will be light, but a Global Dairy Trade auction will take place on Tuesday, providing an update on how the global markets are looking.

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Author

John Heinberg