Monday was a big negative day for our markets. Harvest corn closed down 16, harvest soybeans closed down 28 1/2, harvest winter wheat closed down 8 1/4 and harvest spring wheat closed down 8 3/4. In the overnight trade all of our markets have remained on the negative side. Oil closed up $0.93 yesterday at $67.93 per barrel. It is down in trading this morning with it now valued at $67.66 per barrel. Our dollar traded between a low of $0.731 US and a high of $0.733 US yesterday with it closing out at $0.732 US. It is flat this morning, currently trading at $0.732 US.
Yesterday was unfortunately a very negative day for all row crops. All saw double-digit losses throughout the day, although wheat managed to rally slightly by the end of the session to recover some of its earlier losses. Since mid-May, Mondays have consistently been tough days for grain trading. We’ll see if we can recoup some of these losses as the week progresses. However, the two-week weather forecast is quite favorable for crop development, which is bearish for prices.
It was also announced yesterday that President Trump will be sending letters to both Japan and South Korea, stating that a 25% tariff will take effect as of August 1st. Both Japan and South Korea are currently among the top five markets for 2024/2025 U.S. corn exports, and this news added additional bearish pressure to the corn market.
The weekly crop progress report was released yesterday, showing corn’s good-to-excellent (G/E) rating improved to 74%, up 1% from last week and above the five-year average of 72.6%. The weather outlook for the core Midwest remains non-threatening for the next several weeks, as we move through the key pollination stage.
Lack of export demand, favorable weather, large yields from South America, and ongoing tariff announcements are all contributing to the continued downward pressure on crop prices.
If you would like to talk about the markets or price some of your crop for the future or in store, please reach out to us via phone or email to info@northgowergrains.com. Prices quoted herein are for product at our elevator.
Delores Seiter | 613-880-7458
Bob Orr | 613-720-1271
Tony Mitchell | 613-227-2525
Office | 613-489-0956
