Grain markets close at a high for the week. Friday, July 8, 2022

The grain markets posted strong gains with most contracts closing near the high for the day and high for the week. It certainly feels different than it did at the close on Tuesday.

On Friday, September corn closed up 24 cents and December corn closed 27 cents higher. August soybean futures closed up 28 cents and November soybeans gained 31 cents. Wheat futures closed 54 to 59 cents higher.

For the week, on my weekly continuation charts, July corn had a 56-cent trading range and closed 24 cents higher. July soybeans had a 75-cent trading range and closed up 4 cents. July CBOT wheat had a $1.00 trading range and closed up 48 cents. Minneapolis wheat had a $1.15 trading range and closed up 37 cents and KC wheat had a $1.15 trading range and closed up 40 cents.

The key next week will be the extended weather forecasts and watch what the global and U.S. stock market does.

Next Tuesday is the July USDA Supply/Demand reports. With 2.7 million acres fewer soybeans than the March report, the ending stocks for next year are very tight, even if you use trend line yields. I look for minimal changes in the corn and soybean numbers.

In the livestock markets on Friday, August Hogs closed down 32 cents at $109.17, August Cattle closed down 60 cents at $133.95, and August Feeders closed down 75 cents at $171.72.

In the outside markets, crude oil is now up over $2 per barrel. The U.S. stock market is higher with the Dow up 51 points. The U.S. dollar is down 0.13 points.

Wheat is again the leader as the grain markets move sharply higher.

The funds are in buying, as are the weather traders. The extended modes are not in good agreement, but it looks dry for much of the Corn Belt in the 6-10 and 11-to-15-day forecasts. Many areas had timely rain this week with more on the way next week.

The chart gaps from Tuesday’s sharply lower opening have been filled.

At this hour, September corn is currently up 18 cents, December corn is up 20 cents. August soybean futures are currently up 25 cents, November soybeans are 26 cents higher. Wheat futures are 36 to 44 cents higher.

Again, today I am impressed with the orderly rally. The key will be to hold onto these gains into the close of trade at 1:15 P.M.

In the livestock market today, August Hogs are down 7 cents at $109.32, August Cattle are down 50 cents at $134.05, and August Feeders closed are down 67 cents at $171.80.

In the outside markets, crude oil is now up $1.50 per barrel.

The U.S. stock market is higher with the Dow up 71 points. The U.S. dollar is down 0.22 points.

The rally in the wheat market continues and that is helping rally the corn and soybean markets. Export sales were disappointing, but the market has ignored the bearish news as it the focus turns to the dryer weather forecasts now in the 6-10 day and 11 to 15 day forecasts.

September corn trading range is 15 cents and the last trade is up 14 cents, December corn is up 16. August soybeans have a 28 cent trading range are trading 4 cents higher and November soybeans are up 9 cents. Wheat futures are 32 to 41 cents higher.

With all of the volatility, here is where prices are for the week:

• July Corn up 14 cents
• December Corn up 4 cents
• July Soybeans down 18 cents
• November Soybeans down 20 cents
• CBOT Wheat up 11 cents
• KC Wheat up 3 cents
• MGE Wheat down 12 cents

They key in where prices close today is the noon weather model updates.

On the Dalian Commodity Exchange in China, corn and soybean futures are higher. On the Matif exchange in Europe, wheat futures are 34 cents a bushel higher at $11.50 a bushel.

Stock indexes are mixed around the world. The stock market in China is down 0.4%. Japan is up 0.2%, European stocks are up 0.2%. At this hour, the U.S. stock market is now lower with the Dow now down 137 points.

In the early trade, livestock futures are higher.

Author: Al Kluis

Tags: cattle, futures, markets, feeders, corn, grain, животноводство, soybean, hogs, wheat