Wheat falls to four-month low; corn slumps with more rain in forecast (NYSEARCA:WEAT)

Wheat falls to four-month low; corn slumps with more rain in forecast (NYSEARCA:WEAT)

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U.S. wheat futures fell to their lowest price since February on Monday, pressured by the expanding harvest of winter wheat in the northern hemisphere and a lack of demand for U.S. supplies, according to Reuters.

CBOT wheat (W_1:COM) for September delivery settled -2% to $9.17 1/2 per bushel after sliding to as low as $9.00-1/2, the contract’s lowest level since February 28, and December corn (C_1:COM) closed -3.1% to $6.53 per bushel, but November soybeans (S_1:COM) ended +0.6% to $14.32 3/4 per bushel.


“Wheat has no friends right now. We are at harvest time and that is weighing on the market… And the demand is just really bad, especially for the export side,” Price Futures analyst Jack Scoville told Reuters.

After the CBOT close, the U.S. Department of Agriculture said the U.S. winter wheat harvest was 41% complete, ahead of market expectations as well as the five-year average of 35%.

Better than expected weekend rains in parts of the Midwest that should boost crop prospects pressured corn and wheat futures.

Corn is showing the most weakness due to weekend rainfall across Illinois that produced some needed soil moisture, with the midday forecast offering additional showers early next week,” AgResource said, according to Dow Jones.

In the past two weeks, the most-active corn contract has dropped nearly 10%, wheat tumbled more than 15%, and soybeans fell ~9%.

Archer Daniels Midland (ADM) should continue to benefit from tight agri-commodity supplies and robust food demand that are expected to persist in 2022, LD Investments writes in an analysis published recently on Seeking Alpha.

Originally Posted on: https://seekingalpha.com/news/3852256-wheat-falls-to-four-month-low-corn-slumps-with-more-rain-in-forecast?source=feed_tag_commodities

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