Corn, soybeans, wheat drop on USDA data

Recap for November 9

• Corn futures declined Thursday after the US Department of Agriculture raised its forecast for the US 2023 corn crop to a record-high 15,234 million bus, up from 15,064 million in October based on an average yield at 174.9 bus per acre. Soybean futures dropped sharply after the USDA in its monthly World Agricultural Supply and Demand Estimates report raised its forecast for US soybean carryover in 2024 to 245 million bus. The government estimated the soybean crop at 4,129 million bus, up from 4,104 million in October, based on an average yield of 49.9 bus per acre. Wheat futures extended losses as the US dollar strengthened and the WASDE indicated larger global supplies, decreased domestic use and higher ending stocks. December corn futures fell 8¢ to close at $4.68 per bu. Chicago December wheat fell 11½¢ to close at $5.80¾ per bu. Kansas City December wheat dropped 7¾¢ to close at $6.47¼ per bu. Minneapolis December wheat fell 1¢ to close at $7.34½ per bu. November soybeans fell 21¼¢ to close at $13.27¾ per bu. December soybean meal edged up 10¢ to close at $449.90 per ton, but all subsequent futures were lower by about $3 to $5 a ton. December soybean oil rose 0.50¢ to close at 50.45¢ a lb.

• The stock market wavered between gains and losses Thursday but closed lower after a government sale of $24 billion in long-term debt drew fewer buyers than anticipated, spurring benchmark 10-year yields, which offer practically risk-free returns, to tick higher to 4.629%. The Dow Jones Industrial Average fell 220.33 points, or 0.65%, to close at 33,891.94. The Standard & Poor’s 500 dropped 35.43 points, or 0.81%, to close at 4,347.35. The Nasdaq Composite fell 128.97 points, or 0.94%, to close at 13,521.45.

• US crude oil prices rose Thursday. The December West Texas Intermediate light, sweet crude future closed 41¢ higher at $75.74. 

• The US dollar index strengthened Thursday for a fourth consecutive day. 

• US gold futures broke a multi-day downturn with a higher close Thursday. The December contract added $12 to close at $1,969.80 per oz.

Recap for November 8 

• US wheat futures rallied Wednesday on signs of global demand after Algeria’s purchase, renewed Black Sea supply concerns after a Russian missile allegedly damaged a Liberian civilian vessel near the Odesa port, and a reduction in the estimate of Argentina’s wheat harvest from 14.3 million tonnes to 13.5 million tonnes. US soybean futures continued to rally off of 22-month lows reached the prior month, soaring Wednesday to a two-month high after the US Department of Agriculture confirmed large private sales of US soybeans, including 433,000 tonnes to China and 476,500 tonnes to unknown destinations. Corn, with a boost from a 270,000-tonne export sale to Mexico for 2023-24, followed wheat and soybean higher as traders positioned themselves ahead of Thursday’s fresh supply-demand numbers. December corn futures were up 7½¢ at $4.76 per bu. Chicago December wheat jumped 22¢ to close at $5.92¼ per bu. Kansas City December wheat soared 22½¢ to close at $6.55 per bu. Minneapolis December wheat added 11¼¢ to close at $7.35½ per bu. November soybeans edged up ¼¢ to close at $13.49 per bu; September 2024 futures and beyond were steady to lower. December soybean meal added $2.40 to close at $449.80 per ton; March 2024 and beyond were lower. December soybean oil ascended 0.46¢ to close at 49.95¢ a lb.

• Fresh third-quarter earnings reports buoyed some shares and sent others lower on Wednesday, leading to mixed closes on the nation’s major equity indices. The Nasdaq was higher for a ninth consecutive day, the S&P500 for an eighth in a row. The Dow Jones Industrial Average lost 40.33 points, or 0.12%, to close at 34,112.27. The Standard & Poor’s 500 added 4.4 points, or 0.1%, to close at 4,382.78. The Nasdaq Composite edged up 10.56 points, or 0.08%, to close at 13,650.41.

• US crude oil prices fell Wednesday. The December West Texas Intermediate light, sweet crude future was down $2.04 to close at $75.33. 

• The US dollar index strengthened for a third straight session on Wednesday. 

• US gold futures kept to the downside Wednesday as the dollar continued to accelerate. The December contract dropped $15.70 to close at $1,957.80 per oz.

Recap for November 7

• Better-than-expected winter wheat crop conditions — about 50% of the US crop was in good-to-excellent condition on Nov. 5 — pressured wheat futures Tuesday, with KC hard red winter futures leading the way down. Nearby soybeans rose to a two-month high on adverse weather conditions in export competitor Brazil, but deferred months declined. Corn futures dropped as traders awaited updated supply-demand estimates Thursday amid expectations of slightly increased US corn production and yield estimates. December corn futures were down 8¾¢ at $4.68½ per bu. Chicago December wheat dropped 5½¢ to close at $5.70¼ per bu. Kansas City December wheat fell 13¼¢ to close at $6.32½ per bu. Minneapolis December wheat fell 4½¢ to close at $7.24¼ per bu. November soybeans rose 8¼¢ to close at $13.48¾ per bu; all subsequent months were lower. December soybean meal added $9.90 to close at $447.40 per ton; December soybean oil shed 1.31¢ to close at 49.49¢ a lb.

• As Treasurys continued to rally — the yield on 10-year notes fell to 4.57% from 5% last month — tech stocks behind the earlier 2023 rally resumed their climb, helping the major indexes move higher Tuesday, the Nasdaq for the eighth straight trading day. The Dow Jones Industrial Average added 56.74 points, or 0.17%, to close at 34,152.60. The Standard & Poor’s 500 edged up 12.4 points, or 0.28%, to close at 4,378.38. The Nasdaq Composite added 121.08 points, or 0.9%, to close at 13,639.86.

• US crude oil prices fell Tuesday. The December West Texas Intermediate light, sweet crude future was down $3.45 to close at $77.37. 

• The US dollar index strengthened again Tuesday after touching a six-week low near the end of the previous week. 

• US gold futures pulled lower as the dollar maintained an upside surge. The December contract was down $15.10 to close at $1,973.50 per oz.

Recap for November 6

• Dry conditions in Argentina and weather woes in Brazil each helped push US soybean futures higher Monday. Brazil also is a major corn exporter, but traders were content to wait and see the impact on corn, leaving the nearby corn future unchanged. Wheat futures popped higher, some contracts for a fourth straight day, as recent weakness in the US dollar supported grain markets. December corn futures were steady at $4.77¼ per bu; later months were mixed within a minuscule range. Chicago December wheat added 3¼¢ to close at $5.75¾ per bu. Kansas City December wheat added 2¼¢ to close at $6.45¾ per bu. Minneapolis December wheat gained 7¾¢ to close at $7.28¾ per bu. November soybeans rose 13¢ to close at $13.40 per bu. December soybean meal fell $4.60 to close at $437.50 per ton; later months were mixed. December soybean oil added 1.44¢ to close at 50.80¢ a lb.

• US equity indexes capitalized on the previous week’s rally and closed with small gains Monday on continued investor hopes the Federal Reserve’s sharp course of interest rate hikes has concluded. The Dow Jones Industrial Average added 34.54 points, or 0.1%, to close at 34,095.86. The Standard & Poor’s 500 edged up 7.64 points, or 0.18%, to close at 4,365.98. The Nasdaq Composite added 40.5 points, or 0.3%, to close at 13,518.78.

• US crude oil prices advanced Monday. The December West Texas Intermediate light, sweet crude future was up 31¢ to close at $80.82. 

• The US dollar index strengthened Monday after touching a six-week low near the end of the previous week. 

• US gold futures pulled lower as the dollar turned higher. The December contract was down $10.60 to close at $1,988.60 per oz.

Recap for November 3

• The US dollar index closed lower for a second day Friday, touching a six-week low. 

• US soybean futures on Friday touched a 6½-week high and closed higher, lifted by uneven crop weather in top export competitor Brazil, signs of export demand for US supplies and a plunge in the dollar that bolstered corn and wheat futures as well. All three commodities got an upside injection from Labor Department data showing US job growth slowed more than expected in October, highlighting views that the Federal Reserve may be done hiking interest rates. December corn futures added 7¼¢ to settle at $4.77¼ per bu. Chicago December wheat added 7¢ to close at $5.72½ per bu. Kansas City December wheat added 2¢ to close at $6.43½ per bu. Minneapolis December wheat jumped 10¼¢ to close at $7.21 per bu. November soybeans soared 23½¢ to close at $13.27½ per bu. December soybean meal rose $15.80 to close at $442.10 per ton. December soybean oil dropped 0.96¢ to close at 49.36¢ a lb.

• Investors sent equity markets higher Friday, helping the S&P 500 to its best week since November 2022, on optimism for a soft landing following the Fed’s aggressive rate-hike course this year. The Dow Jones Industrial Average added 222.24 points, or 0.66%, to close at 34,061.32. The Standard & Poor’s 500 jumped 40.56 points, or 0.94%, to close at 4,358.34. The Nasdaq Composite soared 184.09 points, or 1.38%, to close at 13,478.28.

• US crude oil prices reverted to the low side Friday. The December West Texas Intermediate light, sweet crude future shed $1.95 to close at $80.51. 

• US gold futures ascended as the dollar dipped. The December contract was up $5.70 to close at $1,999.20 per oz.