Grains mixed this morning. Wednesday, May 29, 2024

July corn is down less than a penny this morning.

July soybeans are down 9¾¢.

CBOT wheat is up a penny. KC wheat is down less than a penny. Minneapolis wheat is up 6¼¢.

“USDA reports that this year’s corn and soybean crops are going in the ground with plenty of moisture to support big crops,” says Arlan Suderman, chief commodities economist for StoneX. “That doesn’t tell all of the story, with excessive moisture risking emergence and establishment from northwest Iowa to portions of Illinois. But we’ll get a better assessment on the impact of excessive wetness when we see the first crop condition ratings for corn, which should come out on Monday.”

Suderman also commented on a report that Indian may be looking to import wheat this year.

“India may import up to 3 to 5 million metric tons of wheat this year, according to a report from Reuters,” he says. “That would be big news in a year when Russia appears to be producing a smaller crop. Reuters reports that India may lift its 40% import tax after June of this year, possibly putting it back on by October when the 2025 crop is planted.

“Structurally, India is struggling to sustain production at levels that keep up with the growth in demand, so we anticipate that it will eventually reach that point of needing to import wheat. Will that be this year? Possibly so, but not necessarily. India currently has ample supplies of rice, and history tells us that the two are somewhat interchangeable as food grains. Typically, India does not import wheat when it has ample supplies of rice.

“If it does import, those imports would likely be sourced from Russia, which may also find itself in a position of needing to restrict exports due to this year’s short crop, leading other customers to seek alternative supplies from other exporters, where supplies are also relatively snug. A lot hinges on what the actual size of Russia’s crop turns out to be over the coming weeks.”

Concerning livestock, August live cattle are currently unchanged. August feeder cattle are down 3¢. July lean hogs are up 15¢.

Crude oil is down 3¢.

The U.S. Dollar Index June contract is up to 104.75.

S&P 500 futures are down 39 points. Dow futures are down 323 points.

Tags: wheat, futures, live cattle, feeder cattle, lean hogs, corn, soybeans