Soybean traders are facing an array of factors influencing prices such as, ending stocks the second highest on record, potential record acres planted this spring, a crop in Argentina that continues to shrink, plus a possible trade retaliation from China. USDA currently projects Argentina's crop at 47.0 million tons, down 7.0 million from February.
The grains are facing a lot of uncertainty in the weeks ahead arising from Argentina's subpar crop, planting intentions, Midwest weather during the growing season, and possible retaliation from the tariffs placed on steel and aluminum imports.
Wheat prices sold off last week but did not turn their short-term trends down and did not trade below their price channel which has held this current uptrend since turning higher back during the December time frame.
Corn closed a little lower. Consolidation trading is expected today before the monthly United States Department of Agriculture (USDA) supply and demand estimates that will be released later this morning.
Soybeans ended the week's trade on a volatile note as weather concerns continued to provide support to the beans, while concerns that our world trading partners will retaliate by taxing US Ag imports due to the steel and Aluminum tariffs President Trump has threatened to impose, capped the market move higher.
Wheat prices have seen a sharp push to the upside after key winter wheat growing areas missed a major rain event which crossed the southern plains and into the southeastern states headed to the east coast.