US Grain and Oilseed Market Plunges on Rainfall Expectations

The US grain and oilseed market experienced significant losses on Friday, with soybean prices plummeting ahead of expected rainfall in growing areas. According to the USDA, most of the Midwest will receive rain over the next few days, with the heaviest amounts falling in Iowa, Wisconsin, and northern Illinois and Indiana. The private export sale of 111,000 tonnes of soybeans for 2026-27 to China was reported by the USDA, while total export commitments for US soybeans reached 20.63 million tonnes, more than double from a year ago.

Wheat prices also fell despite growing concerns about Russia's war with Ukraine potentially spilling into NATO territory. The USDA reported that wheat export commitments for the current marketing year so far totalled 9.18 million tonnes, down 30% from last year and making up 44% of the USDA's export projection.

Corn prices were slightly lower on Friday due to expected rainfall in growing areas. A large weather system was spotted over South Dakota, northern Iowa, eastern North Dakota, and most of Minnesota, with stocks-to-use ratio for US corn moving below 10%, a five-year low that raises the possibility of $6 per bushel corn next year.