(Agriculture.com) – On Friday, a nonthreatening weather outlook for Midwestern crops pushed soybeans back below the psychological $10.00 per bushel mark.
At the close, the Sep. corn futures closed 3/4¢ higher at $3.35, Dec. futures finished 1¢ higher at $3.41 3/4 per bushel.
August soybean futures closed 26¢ lower at $10.06 1/2, while Nov. soybean futures finished 24 1/4¢ lower at $9.88, trading as low at $9.66 today.
Sept. wheat futures ended 7 1/2¢ higher at $4.25 1/4.
August soymeal futures closed $5.80 short ton lower at $346.70. August soyoil futures closed $0.85 lower at 30.21¢ per pound.
In the outside markets, the Brent crude oil market is $0.48 per barrel lower, the U.S. dollar is higher, and the Dow Jones Industrials are 36 points higher.
Deanna Hawthorne Lahre, StatFuturess Inc. cofounder and trader, says that today was a brutal down day, as soybeans blew through $10.00 per bushel and took the grains down with it.
“Dollar strength and weather continue to drive markets, as heat is offset by timely rains. Wheat saved the day today, as French quality is becoming an issue as rains at harvest have caused lowered expectations and allowed corn to close near unchanged,” Lahre says.
Lahre adds, “The market is still deciding appropriate level of wheat/corn spread, as we head into the corn harvest. Finally, winter wheat harvest was huge, but the protein was a bit light, so market is doing the work to figure out pro scales and spreads into Minneapolis.”
Mike North, president of Commodity Risk Management Group, says the markets dropped due to rain continuing to show up in forecasts to help mitigate heat.
“The heat ends within the week. On top of that, $10 price support was violated bringing in additional selling as capitulation takes place,” North says.
