Recap for July 6
- Focus turned from last week’s bullish US Department of Agriculture 2020 planting estimates, most of which were below expectations, to concerns about hot, dry weather across key growing areas the next two weeks as corn enters the critical pollination period that is critical to determining yields. As a result, corn and soybean futures moved higher on Monday. New export sales of corn and soybeans to China and corn to Mexico also bolstered the market. Wheat futures were mostly higher following corn and soybeans, but harvest pressure limited gains in winter wheat. July corn rose 4¢ to close at $3.46½ a bu. Chicago July wheat was down ½¢ at $4.89½ a bu, but later months were mostly higher. Kansas City July wheat advanced 5½¢ to close at $4.32¾ a bu. Minneapolis July wheat gained 3¼¢ to close at $4.99 a bu. July soybeans rose 6¢ to close at $8.98½ a bu. July soybean meal was up $1.90 to close at $295.40 a ton. July soybean oil was 0.46¢ higher at 28.42¢ a lb.
- US equity indexes started the week with sharp upturns with gains across a broad range of stocks, in part following strong gains in Chinese markets, despite a continued sharp increase in reported cases of the coronavirus in the United States that threatens to slow the reopening of the economy. Strong gains in the US services industry in June helped fuel the rise. The Dow Jones Industrial Average surged 459.67 points, or 1.78%, to close at 26,287.03. The Standard & Poor’s 500 Index rose 49.71 points, or 1.59%, to close at 3,179.72. The Nasdaq Composite advanced 226.02 points, or 2.21%, to close at 10,433.65.
- US crude oil futures were little changed on Monday on mixed signals as the increase in coronavirus cases continued to threaten energy demand, but positive economic data from the United States and China provided support. The August contract eased $0.02 to close at $40.63 per barrel.
- The US dollar index was weaker on Monday
- US gold futures rose Monday as the increasing number of coronavirus cases encouraged safe-haven investing, even as higher-risk equity markets also surged. The August future was up $5.50 to close at $1,795.50 an oz.
Recap for July 2
- Corn and wheat futures dropped on Thursday, although corn futures still posted gains about 15¢ to 25¢ for the week on bullish US Department of Agriculture planted area data released June 30 and on concerns about hot, dry weather in the Corn Belt as pollination begins. Corn futures dropped Thursday on profit taking after surging nearby 9% to a 3½-month high in the first three sessions of the week. Winter wheat futures tumbled on harvest pressure, while spring wheat futures were pressured by favorable weather forecasts for dry parts of the Upper Midwest. Soybean futures ended with small losses for the day on profit taking but still posted strong gains for the week. July corn fell 5¾¢ to close at $3.42½ a bu. Chicago July wheat was down 8¾¢ at $4.90 a bu. Kansas City July wheat declined 15¼¢ to close at $4.27¼ a bu. Minneapolis July wheat dropped 11½¢ to close at $4.95¾ a bu. July soybeans eased 1¼¢ to close at $8.92½ a bu. July soybean meal rose $0.80 to close at $293.50 a ton. July soybean oil was 0.25¢ lower at 27.96¢ a lb. Markets are closed on July 3.
- US equities posted modest gains for the day but ended well below session highs that were driven by strong job growth data for June. Concerns about the effect of surging coronavirus cases on the economy persisted. The Dow Jones Industrial Average rose 92.39 points, or 0.36%, to close at 25,827.36. The Standard & Poor’s 500 Index rose 14.15 points, or 0.45%, to close at 3,130.01. The Nasdaq Composite advanced 53.00 points, or 0.52%, to close at 10,207.63.
- US crude oil futures advanced Thursday as stronger-than-expected June jobs growth indicated a possible upturn in energy demand. The August contract was up $0.83 to close at $40.65 per barrel.
- The US dollar index was firmer on Thursday.
- US gold futures advanced on Thursday. The August future was up $10.10 to close at $1,790.00 an oz.
Recap for July 1
- Corn and soy complex futures again posted solid gains, still trading higher on Tuesday’s bullish US Department of Agriculture shockingly low corn planted area estimate, and in the case of corn, short covering from funds that had a near-record short going into the report. Hot dry weather just as corn in some areas is entering the pollination stage also prompted some traders to add a weather premium. Wheat futures were mixed with winter wheat following corn higher, but Minneapolis spring wheat trading lower after beneficial rainfall in parched areas of the Upper Midwest. July corn rose 9¾¢ to close at $3.48¼ a bu and gaining about 30¢, or 9%, so far this week. Chicago July wheat was up 8¾¢ at $4.98¾ a bu. Kansas City July wheat advanced 7¢ to close at $4.42½ a bu. Minneapolis July wheat dropped 2¢ to close at $5.07¼ a bu. July soybeans advanced 9½¢ to close at $8.93¾ a bu. July soybean meal rose $6.40 to close at $292.70 a ton. July soybean oil was 0.23¢ higher at 28.21¢ a lb.
- After posting the best second quarter since 1998, US equity markets closed mixed on Wednesday. The broad market got support from indications of continued improvement in the labor market in June, as well as hope for an effective coronavirus vaccine. The DJIA was pressured in part by losses in Boeing Co. shares. The Dow Jones Industrial Average lost 77.91 points, or 0.30%, to close at 25,734.97. The Standard & Poor’s 500 Index rose 15.57 points, or 0.50%, to close at 3,115.86. The Nasdaq Composite advanced 95.86 points, or 0.95%, to close at 10,154.63.
- US crude oil futures advanced Wednesday after American Petroleum Institute data released after Tuesday’s close showed a larger-than-expected drawdown in US crude oil stocks. Gains were limited by talk that Saudi Arabia may start another oil price “war” if other members of the Organization of Petroleum Exporting Countries do follow recent production cut agreements, and buy demand uncertainty due to the uptick in coronavirus cases. The August contract was up $0.55 to close at $39.82 per barrel.
- The US dollar index weakened on Wednesday.
- US gold futures gave back Tuesday’s gains and closed lower on Wednesday. The August future was down $20.60 to close at $1,779.90 an oz.
Recap for June 30
- Corn, soy complex and wheat futures posted wide gains Tuesday as annual US Department of Agriculture planted area estimates came in below trade expectations for all three commodities, with the corn figure the biggest surprise at 5% below the USDA’s March Prospective plantings forecast and below the full range of analysts’ estimates. All wheat area planted for harvest in 2020 was the lowest in records back to 1919. July corn rose 12¼¢ to close at $3.38½ a bu and gaining 20¢ in the past two sessions. Chicago July wheat was up 4½¢ at $4.90 a bu. Kansas City July wheat advanced 6¾¢ to close at $4.35½ a bu. Minneapolis July wheat jumped 12¼¢ to close at $5.09¼ a bu, with spring wheat acreage well below expectations. July soybeans surged 17¾¢ to close at $8.84¼ a bu. July soybean meal rose $5.80 to close at $286.30 a ton. July soybean oil was 0.36¢ higher at 27.98¢ a lb.
- US equity markets continued their upward trek on Tuesday, in part on better-than-expected consumer confidence data, making the second quarter of 2020 the best quarter since 1998 despite the economic fallout from the coronavirus. FedEx Corp. and Uber Technologies Inc. posted strong gains on Tuesday. The Dow Jones Industrial Average gained 217.88 points, or 0.85%, to close at 25,812.88, and was up about 18% for the quarter. The Standard & Poor’s 500 Index rose 47.05 points, or 1.54%, to close at 3,100.29, up 20% for the quarter. The Nasdaq Composite advanced 184.61 points, or 1.87%, to close at 10,058.77, up 30% for the quarter.
- US crude oil futures declined Tuesday on continued concern that increasing coronavirus cases may curb energy demand. Prices turned higher after the close on a larger-than-expected drawdown in US crude oil stocks indicated in the latest weekly data from the American Petroleum Institute. The August contract was down $0.43 to close at $39.27 per barrel.
- The US dollar index weakened against major currencies on Tuesday.
- US gold futures posted strong gains as the dollar weakened on Tuesday, continuing its rise to an eight-year high as more coronavirus cases continue to make some risk averse. The August future was up $19.30 to close at $1,800.50 an oz.
Recap for June 29
- Winter wheat and corn futures posted solid gains Monday, while spring wheat and soybeans eked out smaller advances, with traders in both cases mostly focused on positioning ahead of key USDA Acreage and Grain Stocks reports set for release Tuesday. Corn futures got a boost from short covering on talk of renewed export interest from China after last week’s near two-month lows. Wheat futures recovered from last week’s contract lows, but the advancing winter wheat harvest limited gains somewhat. Gains in equity and crude oil markets also provided underlying support to agricultural futures. July corn rose 9¼¢ to close at $3.26¼ a bu. Chicago July wheat jumped 11½¢ to close at $4.85½ a bu. Kansas City July wheat advanced 7½¢ to close at $4.28¾ a bu. Minneapolis July wheat declined 1½¢ to close at $4.97 a bu, but all later months edged higher. July soybeans rose 1½¢ to $8.66½ a bu. July soybean meal shed $1.60 to close at $280.50 a ton. July soybean oil was 0.42¢ higher at 27.62¢ a lb.
- US equity markets started the week sharply higher on strong economic data (existing homes sales) expectations of additional monetary stimulus that would aid economic recovery, despite sharp increases in coronavirus cases that threatened to undo some of the reopening. The Dow Jones Industrial Average surged 580.25 points, or 2.32%, to close at 25,595.80. The Standard & Poor’s 500 Index rose 44.19 points, or 1.47%, to close at 3,053.24. The Nasdaq Composite advanced 116.93 points, or 1.20%, to close at 9,874.14.
- US crude oil futures advanced Monday as stronger economic data from several regions around the globe signaled a possible uptick in energy demand. The August contract was up $1.21 to close at $39.70 per barrel.
- The US dollar index strengthened Monday on weakness in the sterling and the Japanese yen.
- US gold futures edged higher on Monday on concerns about the increasing number of coronavirus cases, with the nearby price holding near an eight-year high and on track to post the largest quarterly gain in four years. The August future was up 90 to close at $1,781.20 an oz.