Grain Futures Markets Open Soft After Record-Breaking Bullish August
The grain and livestock futures markets have opened slightly softer this week after experiencing one of the most bullish August weeks on record last week. The December corn price has dropped by 1 3/4 cents, while November soybeans are down 2 1/4 cents. The wheat market is also down, with December KC wheat dropping 7 1/2 cents, December Chicago wheat falling 7 3/4 cents, and December MIAX Minneapolis wheat decreasing 6 cents. In contrast, October crude oil is up $1.33.
The bullish shift in fundamentals over the late summer has been driven by lower U.S. yield ideas, red-hot demand, and export disruptions in the Black Sea. However, noncommercial traders are historically long at this time of year, which may leave the market vulnerable to profit-taking bouts as the U.S. harvest approaches.