CBOT wheat futures sank to lifetime lows on Friday as good weather in the US Plains and lackluster export demand prompted traders and commodity funds to add to already-large short-positions. Improving US winter wheat crop conditions and forecasted rain in the Black Sea export region have weighed heavily on wheat prices. Traders were also positioning ahead of the USDA’s world crop report on Monday that will include its first supply and demand balance sheets for 2025/26. Funds sold 3.500 contracts. As of May 6 funds were 14,2 million tonnes net short in wheat futures. Technically, Chicago wheat may test its support at $ 4,98, its low on August 26,2024.
CBOT corn futures bounced on Friday as traders covered short positions ahead of Saturday’s meeting between senior US and Chinese officials and ahead of a widely tracked USDA report on Monday. Traders were even. US exporters sold 95.100 tonnes of corn to Mexico for delivery in the current season and 192.900 tonnes for shipment in 2025/26. As of May 1 US export sales of corn were running ahead of last year’s pace by 12,8 million tonnes, while actual shipments are already 9,5 million tonnes ahead. In its April s/d the USDA is expecting a rise of 6,5 million tonnes above 2023/24 exports. The current export range is 2.665-2.795 million bushels ( USDA 2.550). As of May 6 funds were 13,2 million tonnes net short in corn futures. Technically, July corn may test its resistance at $ 4,57¾.
ICE canola futures had a strong day on Friday, but were only marginally higher for the week. Optimism about trade tensions lessening between the US and China combined with tight old-crop stocks pushed prices higher. July canola settled up $ 11,20 per tonne at $ 712,10, with resistance at $ 715, its contract high.
CBOT soybean futures bounced on Friday on short-covering ahead of today’s meeting between the US and China. Funds bought 3.500 contracts of soybeans and 1.000 contracts of soymeal, but were even in soyoil. As of May 6 funds were 1,3 million tonnes short in soybeans, 0,1 million tonnes short in soyoil and 9,4 million tonnes short in soymeal. Technically, July soybeans may test its resistance between $ 10,61 and $ 10,67. Crude oil rose by $ 1,11 to $ 61,02, with resistance at $ 62,35.
Source : Stigevo