Nasdaq, gold prices touch record highs

Recap for May 20

US gold futures rose to an all-time high Monday on increased expectations for a September interest rate cut, increased holdings in China’s central bank, and elevated risk aversion after Iranian officials were killed in a helicopter crash over the weekend. The June contract added $21.10, or 0.9%, and closed at $2,438.50 per oz, pulling back slightly after touching a record-high $2,449.89 per oz earlier in the session.

US equity markets posted mixed closes again Monday, the DJIA declining ahead of major earnings reports, the S&P 500 trading at record levels before pulling back slightly, and the Nasdaq, led by accelerating shares of tech stocks, posting a record high. The Dow Jones Industrial Average fell 196.82 points, or 0.49%, to close at 39,806.77. The Standard & Poor’s 500 edged up 4.86 points, or 0.09%, to close at 5,308.13. The Nasdaq Composite added 108.91 points, or 0.65%, to close at 16,794.87.

US wheat futures soared Monday on ramped-up Black Sea supply concerns amid widespread crop loss due to frost in Russia and worries that northern and eastern regions of Ukraine also may be affected. Corn futures also rose as recent weather proved unfavorable to seeding the 2024 crop. Brazilian flooding also fueled worries about crop losses and sent US soybeans higher Monday. July corn rose 8¢ to close at $4.60½ a bu. Chicago July wheat soared 37½¢ to close at $6.88¾ per bu. Kansas City July wheat jumped 35¢ and closed at $6.96¾ per bu. Minneapolis July wheat was up 27¾¢ and closed at $7.39¼ per bu. July soybeans added 20¢ to close at $12.48 per bu. July soybean meal added $5.30 to close at $374.10 per ton. July soybean oil gained 1.05¢ to close at 46.32¢ a lb.

US crude oil prices pulled back 1% Monday after two top Federal Reserve officials indicated they would need to see more signs of declining inflation before the central bank begins to reverse its recent campaign of interest rate hikes. The June West Texas Intermediate light, sweet crude future fell 26¢ to close at $79.80 per barrel.

The US dollar index edged higher Monday as investors awaited further rate-cut clues from the Federal Reserve.

Recap for May 17

US equity markets posted mixed closes Friday. The DJIA continued higher on renewed hopes for a Federal Reserve interest rate cut this year, closing above 40,000 for the first time ever. The Dow Jones Industrial Average added 134.21 points, or 0.34%, to close at 40,003.59. The Standard & Poor’s 500 added 6.17 points, or 0.12%, to close at 5,303.27. The Nasdaq Composite fell 12.35 points, or 0.07%, to close at 16,685.97.

Improving US weather forecasts weighed on corn Friday. Soybeans continued higher as more rain in Brazil ramped up concerns about flooding leading to crop losses. Wheat was under pressure a day after the hard winter wheat tour projected better-than-average yields in Kansas. July corn fell 4½¢ to close at $4.52½ a bu. Chicago July wheat dropped 12¢ to close at $6.51¼ per bu. Kansas City July wheat fell 11½¢ and closed at $6.61¾ per bu. Minneapolis July wheat was down 9¼¢ and closed at $7.11½ per bu. July soybeans added 11¾¢ to close at $12.28 per bu, but later months were mixed. July soybean meal added $1.10 to close at $368.80 per ton; later months were mixed. July soybean oil gained 0.75¢ to close at 45.27¢ a lb.

US crude oil prices advanced again Friday. The June West Texas Intermediate light, sweet crude future gained 83¢ to close at $80.06 per barrel.

The US dollar index weakened Friday.

US gold futures climbed. The June contract added $31.90 and closed at $2,417.40 per oz.

Recap for May 16

Major US equity indexes closed lower Thursday, paring gains after climbing early on signs of continuing US economic strength, offsetting the retreat of investor expectations that inflation will cool enough to allow central-bank officials to sharply reduce interest rates this year. The DJIA rose as high as 40,051 before pulling back. It had been 873 days since the index first topped 30,000 points in November 2020. The Dow Jones Industrial Average dropped 38.62 points, or 0.1%, to close at 39,869.38. The Standard & Poor’s 500 eased 11.05 points, or 0.21%, to close at 5,297.1. The Nasdaq Composite fell 44.07 points, or 0.26%, to close at 16,698.32.

Wheat futures closed lower Thursday on strong Kansas yield and production forecasts from the Hard Winter Wheat Tour, and on lackluster export sales. Soybean futures were mixed but mostly lower after Brazil flooding worries partially offset a National Oilseed Processors Association’s report indicating US soybean crushings dropped to 166.0 million bushels in April, a seven-month low that was below all trade estimates. Weekly export sales near the low end of expectations also pressured corn futures. July corn fell 5½¢ to close at $4.57 a bu. Chicago July wheat dropped 2¢ to close at $6.63¼ per bu. Kansas City July wheat fell 1¾¢ and closed at $6.73¼ per bu. Minneapolis July wheat was down 6¼¢ and closed at $7.20¾ per bu. July soybeans added 2¾¢ to close at $12.16¼ per bu, but all months after August closed lower. July soybean meal dropped $4.40 to close at $365.30 per ton. July soybean oil gained 0.97¢ to close at 44.52¢ a lb.

US crude oil prices advanced Thursday. The June West Texas Intermediate light, sweet crude future gained 60¢ to close at $79.23 per barrel.

The US dollar index strengthened on Thursday.

US gold futures tumbled Thursday. The June contract fell $940 and closed at $2,385.50 per oz.

Recap for May 15

The three major US equity indexes surged to record highs Wednesday on benign inflation data that bolstered risk sentiment and boosted hopes of interest rate cuts sooner than later. The Dow Jones Industrial Average surged 349.89 points, or 0.88%, to close at 39,908.00. The Standard & Poor’s 500 jumped 61.47 points, or 1.17%, to close at 5,308.15. The Nasdaq Composite advanced 231.21 points, or 1.40%, to close at 16,742.39.

Wheat and corn futures closed lower Wednesday while the soy complex was mixed with soybean and soymeal futures declining but soy oil futures posting small gains. Chicago July wheat dropped 6¾¢ to close at $6.65¾ per bu. Kansas City July wheat fell 8¼¢ and closed at $6.75 per bu. Minneapolis July wheat was down 6¼¢ and closed at $7.27 per bu. July soybeans eased 1¢ to close at $12.13½ per bu. July soybean meal dropped $1.60 to close at $371.70 per ton. July soybean oil gained 0.15¢ to close at 43.55¢ a lb.

US crude oil prices advanced Wednesday. The June West Texas Intermediate light, sweet crude future gained $0.61 to close at $78.63 per barrel.

The US dollar index declined on Wednesday.

US gold futures rose on Wednesday even as lots of money flowed to riskier investments such as equities. The June contract added $35 and closed at $2,394.90 per oz.

Recap for May 14

On Tuesday, wheat futures gave back some of the prior day’s gains but were still above last week’s highs. Pressure came as traders processed the latest weekly USDA crop progress report, released after the market closed on Monday, which affirmed winter wheat conditions were still at four-year highs. Traders awaited field updates from wheat scouts on this year’s Wheat Quality Council Hard Winter Wheat tour, which kicked off early Tuesday morning. Soybean futures were lower as the market reacted to the Biden administration’s decision not to include used cooking oil on the recent list of tariff increases on Chinese goods. Nearby corn futures slid on spillover pressure from wheat and soybeans. July corn declined 5¢ to close at $4.67½ per bu, but later months were mixed. Chicago July wheat dropped 14½¢ to close at $6.72½ per bu. Kansas City July wheat fell 16¾¢ and closed at $6.83¼ per bu. Minneapolis July wheat was down 5¢ and closed at $7.33¼ per bu. July soybeans lost 5¢ to close at $12.14½ per bu. July soybean meal gained $6.80 to close at $373.30 per ton. July soybean oil tumbled 1.75¢ to close at 43.40¢ a lb.

US equity indexes settled higher Tuesday, with Nasdaq notching a fresh record high. Shares jumped higher after the Biden administration announced new tariffs on Chinese goods. The Dow Jones Industrial Average added 126.60 points, or 0.32%, to close at 39,558.11. The Standard & Poor’s 500 advanced 25.26 points, or 0.48%, to close at 5,246.68. The Nasdaq Composite jumped 122.94 points, or 0.75%, to close at 16,511.18.