CHICAGO: The following are U.S. expectations for the resumption of grain and soy complex trading at the Chicago Board of Trade at 8:30 a.m. CDT (1330 GMT) on Monday.
Wheat – Steady to down 1 cent per bushel
CBOT wheat futures fell on weak export demand, according to analysts, and a higher dollar, as the United States and China agreed to temporarily cut the high tariffs raising fears of recession and causing chaos in financial markets.
The dollar rose 1.1% against a basket of currencies to hit a more than one-month high. It was still down 2.3% from April 2 when U.S. President Donald Trump announced sweeping tariffs, as his often chaotic rollout of policies shook confidence in U.S. assets.
A stronger dollar tends to make U.S. exports less competitive to holders of other currencies, and wheat is particularly affected.
CBOT July soft red winter wheat was last down ¼ cent at $5.21-1/2 per bushel. K.C. July hard red winter wheat was last up 3/4 cent at $5.18-1/4 a bushel, while Minneapolis July spring wheat was last down 2-3/4 cents
to $5.90-3/4 a bushel.
Soybeans, corn up on US-China trade optimism; wheat flat
Corn – Up 4 to 6 cents per bushel
Corn futures were higher as the United States and China agreed to temporarily slash reciprocal tariffs, with the United States cutting extra tariffs it imposed on Chinese imports in April this year to 30% from 145% and Chinese duties on U.S. imports falling to 10% from 125%, the two sides said on Monday.
The deal surpassed expectations as the world’s two biggest economies seek to end a damaging trade war that has stoked fears of recession and roiled financial markets.
The U.S. Department of Agriculture on Monday is expected to report a sharp increase in U.S. corn production this year, according to an analyst poll.
CBOT July corn were last up 5-1/4 cents at $4.55 per bushel.
Soybeans – Up 16 to 20 cents per bushel
Soybeans rallied as news of a deal struck between the United States and China to pause steep tariffs eased fears of an economic downturn.
The USDA on Monday is expected to report soybean production slightly down this year, according to an analyst poll.
CBOT July soybeans were last up 17-1/2 cents at $10.69-1/4 per bushel.
American Dollar Exchange Rate