Wheat futures are again higher with Minneapolis wheat posting new contracts highs. Corn and soybeans are starting lower. The weather looks good for planting and lower U.S. and global equity markets are taking prices lower. Crude oil is higher again today trading above the $110 benchmark.
Around the world, stock prices are lower, and the grain markets in China are steady to higher, with wheat futures on the Matif exchange in Europe trading at new all-time highs.
Last week USDA Report Crop Progress report on Monday showed 2022 U.S. corn 14% planted compared to 42% last year and 33% average. Corn emergence is 3% compared to 7% last year and 6% average. The growing season starts when the corn emerges, and emergence will be slow this week due to cool temperatures.
Looking ahead to the report on Monday, May 9, I look for planting to advance to about 34%. This would be well below last year and the five year average, however it looks like a lot will get done this week. I expect corn planting to move from 25% vs. 67% last year and 55% five-year average.
The Monday, May 2 report for soybeans showed that the U.S. soybean crop is 8% planted compared to 22% last year and 13% average. It is too early to worry about planting dates and planted acres for soybeans; the eventual soybean acreage will depend on what happens with corn planting in the northwestern Corn Belt and what happens to spring wheat acres.
At this time July corn is down 12 cents, with December corn trading 15 cents lower. July soybeans are down 19 cents, with November down 20 cents. Wheat futures are 20 to 30 cents higher. The bull spreads continue to work in the corn and soybean markets.
In the outside markets crude oil is up $1.60 per barrel, the US stock market is lower with the Dow now down 335 points.
About the Author: Al Kluis has been a commodity advisor and broker since 1976. Kluis is an introducing broker with Wedbush Futures and writes a column, Your Profit, which appears in every issue of Successful Farming magazine. Kluis has published two books on commodities trading and is commonly quoted in major publications including the Wall Street Journal. He is also a featured speaker at commodity conferences nationwide. Kluis is a frequent market analyst for the Linder Farm Radio News Network. A Minnesota farm boy, Kluis was awarded his degree in ag economics from the University of Minnesota in 1974, after which he was executive director of the Minnesota Soybean Association before entering the markets full-time. His family still farms in southwest Minnesota, and Kluis enjoys helping with fieldwork when the markets allow.