MarketEdge PM Comments

(Allison Ryan)

Grains were stronger again today, although off of their highs. September corn was up 16¾ and new crop was up 18½. August beans were down ½ c, September beans up 13¼, and new crop up 13½.

• Some follow through on yesterday’s expiration of the Black Sea agreement, pushing wheat up 45-55 c
• Not only did the agreement expire, Russia has attacked several port cities in Ukraine within the last 24-36 hours; Russia said that it would treat any ship on the Black Sea as a military ship
• Several Eastern European countries are not allowing Ukrainian grain to come into their countries, as it has been driving their prices down, ultimately “trapping” Ukrainian grain
• The consequences of all of this are adding a “worst case scenario” to the market
• The dollar was up a bit today, but has been trending lower overall, contributing to this rally in the markets
• Corn closed up 16-19, after being up 24-25 on the overnights
• Brazil is estimated to have exported 267.7 mil bushels in July, which if realized would be a 21% increase year over year
• Most of the corn belt will have warmer than normal temps next week; rainfall will be scattered at best
• The Dow was up (cresting above 35,000 points- first time since early 2022), crude was lower, and the Dollar was firmer

Have a great evening.