Grain markets started the day out higher, but prices did drift lower throughout the day and finished lower at the end of the session.
Weekly Price Summary
Grain Market News
7-Day Observed Precipitation
There are a couple of dry pockets where they have not received significant rainfall.
Overall, we have seen another week of overall good scattering of precipitation.
14-Day Observed Precipitation
The last 2 weeks have been ever better.
We do not have a lot of excessive rainfall, there was a little too much in areas of southern Minnesota, isolated areas in central Illinois or in the far western plains, but for the most part rainfall has been about 1-3 inches across the belt.
U.S. Drought Monitor
We still have significant drought in portions of the plains, and we do have drought expanding in Missouri and isolated areas in Iowa and Illinois.
Overall, the recent precipitation has been good news and reduced the drought area especially in the western belt and plains.
U.S. Drought Monitor- 4 Week Change
Portions of the northwestern belt have had beneficial rain and much of the plains.
Some areas in south central Nebraska that have missed out, much of Missouri and portions of central Illinois.
The radar shows a cold front passing through the eastern belt through Missouri.
Some light showers along that front but behind that is a cool, dry area.
7-Day Precipitation Forecast
The forecast shows very little to no precipitation across much of Iowa, northern Missouri, and Illinois extending into adjacent areas of Minnesota, Wisconsin, and Indiana.
The heart of the belt looks dry over the next week.
You can see soil moisture change between now and May 27th.
Most of the entire U.S. corn and bean belt will see moisture decline in the next week.
The 6-10 and 8-14 days show above normal temperatures for virtually the entire belt.
The precipitation is following through with what we have seen recently with more rain in the plains and dryer in the eastern corn belt.
Grain Market News
May Corn Chart
Corn prices moved higher this morning but turned around closing lower which was disappointing.
One bright spot is we did not take out yesterday’s low at 5.47.
Corn is in a long-term downtrend as well as the intermediate and short term.
The 10-, 20-, and 40-day moving averages are all pointed down as well.
Our first area of major overhead resistance would be an area where we saw a spike low at 5.97 and a double top at $6.
May Soybean Chart
Soybean prices also have an accelerated downtrend in the short term with new lows being posted today.
Technical indicators are near zero and the next chart point would be a low set last year in the month of July at 12.99.
Overhead resistance would be at 13.83, that’s nearly 80 cents from where we are at today.
If the market started to bounce that would be the first area of overhead resistance.
May KC Wheat Chart
Wheat prices have been extremely volatile, overall, the trend is sideways.
The price range is about $1.30 wide, which we have already seen the wheat market fall nearly a $1 in the last 3 trading sessions.
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