CORN HIGHLIGHTS:

• Sellers stayed in control of the corn market going into the weekend as prices failed to hold early session gains to finish with mild losses. Corn futures finished the week lower for the third consecutive week. September futures lost 6 ¾ and December futures lost 5 ¼ cents on the week.
• Even with the U.S. dollar trending lower, ag commodities faced broad pressure from tariff concerns and fund selling, leading to a generally negative tone.
• New-crop corn demand remains firm, with USDA reporting a 125,000 MT sale to unknown destinations for 2025–26 delivery. Sales are running 28% ahead of last year and rank among the strongest starts in the past decade.
• The August USDA crop production report, due Tuesday, could bring yield adjustments. Analysts peg average yield at 184.3 bu/acre, 3.3 bu/acre above trend, with estimates ranging from 182.5 to 188.1—setting the stage for volatility.
• Weather outlooks call for above-normal temperatures over the next two weeks, with weekend rainfall across the Corn Belt in focus. December corn futures have closed lower in 11 of the past 12 Mondays.

SOYBEAN HIGHLIGHTS:

• Soybeans ended the day lower to finish out the week. Futures were initially higher by as much as five cents but faded throughout the day as funds reinstated selling pressure. September futures fell 6 ¾ cents and December dropped 5 ¼ cents on the week.
• The August USDA crop production report, due Tuesday, could bring yield adjustments. Analysts peg average yield at 184.3 bu/acre, 3.3 bu/acre above trend, with estimates ranging from 182.5 to 188.1—setting the stage for volatility.
• Even with the U.S. dollar trending lower, ag commodities faced broad pressure from tariff concerns and fund selling, leading to a generally negative tone.
• Brazilian cash soybean prices have seen basis firming, making it difficult for importers to source soybeans out of Brazil. For the key fall months, U.S. soybeans are the better value on the export market, and there where whispers of Brazil end users looking to possible source a few soybeans from the U.S.
• Some weakness in the soy complex can be attributed to lower energies in general following an OPEC+ statement that they would increase oil production. This has been bearish for both crude oil and soybean oil.

WHEAT HIGHLIGHTS:

• Wheat ended mixed Friday, with losses in Chicago and Kansas City offset by modest gains in Minneapolis. Spring wheat strength was likely supported by overnight storms in the U.S. northern Plains and southern Canadian Prairies, along with expectations that next week’s WASDE may trim yield estimates.
• Media reports suggest the U.S. and Russia have outlined a potential peace deal, possibly to be formalized at a summit next week, which would allow Russia to retain control of parts of eastern Ukraine.
• IKAR has increased their estimate of Russian wheat production by 0.5 mmt to 84.5 mmt due to good yields in central areas. For reference, this compares to the USDA forecast of 83.5 mmt. In related news, the French agriculture ministry also raised their soft wheat production estimate by 0.5 mmt to 33.1 mmt and reported that harvest is 94% complete as of August 4.
• The Buenos Aires Grain Exchange reported Argentine wheat planting is now complete at 6.7 million hectares, up 400,000 hectares from last year. Early conditions are favorable, with 99% of the crop rated normal to excellent.

DAIRY HIGHLIGHTS:

• Class III futures were seen giving back some of the recent gains as we head into the weekend. October futures saw the largest loss of 37 cents to close at $18.37.
• Spot cheese was up for a ninth straight trading session, improving 1.3750 cents to close at $1.82375/lb. Spot whey tacked on another penny to close at $0.58/lb.
• Class IV milk futures were relatively quiet with just November and December contracts seeing losses on the day.
• Spot butter was pressured by sellers on the day, dropping 4.50 cents during the session to close at $2.3550/lb. Powder lost half a cent to close at $1.2650/lb.

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Author

Brandon Doherty