CORN HIGHLIGHTS:

• Corn futures posted moderate losses as broader selling pressure across the grain markets, lower crude oil prices, selling in the wheat complex and favorable weather conditions pressured prices. July corn futures lost 5 cents to 452 ½, and December corn lost 4 ½ cents to 477 ½. 
• Corn has now closed lower in 4 of the last 5 sessions, with both July and December futures breaking below key uptrend support lines that had held since the January lows—an indication momentum has shifted more bearish near-term.
• Crude oil futures traded below $90/barrel as traders grew more optimistic about a potential resolution to the U.S.-Iran conflict. Falling energy prices triggered broader commodity selling tied to easing inflation concerns.
• USDA posted corn planting pace at 86% complete as of May 24. This was at the lower end of expectations, but even with last year, and 3% above the 5-year average.
• Forecasts continue to point toward mostly favorable growing conditions into early June. The market’s next weather focus will be whether drier trends begin to develop and which areas could be impacted during the first half of June.

SOYBEAN HIGHLIGHTS:

• Soybean futures traded on both sides of unchanged Tuesday as strong soybean oil gains offset pressure from rapid U.S. planting progress. July soybeans lost ¾ cent to 1185-1/4 while November gained 1-1/4 cents to 1181-1/2. July soybean meal was up $2.00 to $330.60 and July soybean oil was up 0.90 cents to 75.26 cents.
• While soybeans did not react today to the move lower in crude oil, they typically follow a similar trend. Today, crude oil lost $4.93 a barrel, over 4%, after Mark Rubio said that the U.S. would give the talks with Iran “every chance to succeed”. Many traders believe that a deal to end the hostilities is imminent, and an agreement would re-open the Strait of Hormuz which would get oil and fertilizer passing through again.
• Yesterday’s Crop Progress report saw that soybeans are now 79% planted in the U.S. which compares to 67% last week, 75% a year ago, and the 5-year moving average of 68%. 49% of the crop is emerged which compares to the 5-year average of 40%.
• U.S. soybean exports to China continue to lag as Brazilian soybeans maintain a pricing advantage in the global market. While traders had hoped for increased Chinese buying following recent discussions between President Trump and Xi Jinping, expectations are fading that purchases will exceed the previously discussed 25 MMT commitment.

WHEAT HIGHLIGHTS:

• Wheat closed moderately to sharply lower today, pressured by falling crude oil prices and significant weakness in Paris milling wheat futures. In the July contract, Chicago closed 13 cents lower at 622-1/2, Kansas City fell 6-1/2 cents to 669-3/4, and MIAX dropped 11 cents to 680-3/4.
• Yesterday afternoon’s USDA Crop Progress report indicated that the winter wheat crop was rated just 26% good to excellent, down 1% from the previous week. An estimated 78% of that crop is headed, well above last year’s 73% and the five-year average of 70%. The spring wheat crop is said to be 86% planted, in line with last year but above the 79% average. Additionally, 56% of that crop has emerged, compared with 58% a year ago and 51% average.
• Ukraine has completed spring wheat planting, but officials report farmers reduced fertilizer usage due to rising input costs, potentially limiting yields. However, Ukraine’s larger winter wheat crop remains the more significant production factor.
• The European Commission has reduced their estimate of EU 26/27 soft wheat production from 127.3 mmt to 126.9 mmt last month. This compares with a 135 mmt crop in the 25/26 season. While they did not offer reasons for the decline, other crops including corn and barley also saw reductions, while oilseed production was increased.  
• According to Ukrainian farmer’s union UAC, their nation could harvest between 22-23 mmt of wheat in 2026, compared with 23 mmt in 2025. This is in line with the economy ministry estimate of 22.4 mmt, though above the APK-Inform projection of 20 mmt.

DAIRY HIGHLIGHTS:

• Class III milk futures ended mixed to mostly higher today with June down 8 cents to close at 16.52 and July up 8 cents at 16.69.
• Spot cheese closed down 1.25 cents closing at $1.46875/lb. Spot whey gained 0.50 cents closing up at $0.690/lb.
• Class IV milk futures turned higher today with July up 71 cents to close at 19.87.
• Spot butter gained 6 cents todays to close up at $1.6200/lb. Spot powder gained 5 cents to close up at $2.0925/lb.

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Author

John Heinberg