According to the crop growth report released by the United States Department of Agriculture, the proportion of corn with good to excellent growth conditions is 74%, a decrease of 1 percentage point from last week but still 14% higher than the same period last year.
This Monday, the US agricultural market experienced a series of fluctuations. The July corn futures contract price rose by 3 cents, the July soybean futures contract price rose by 9 cents, and the price of soybean oil remained stable. The Chicago SRW wheat market has once again suffered a heavy blow, falling by 20 cents, while Minneapolis wheat fell by 19.25 cents and oats fell by about 14.5 cents. The price of live cattle rose by $1.75, while the price of feeder cattle rose by $3.75. The price of US crude oil rose by more than $2/barrel, while the price of cotton fell by about 2 cents.
According to the crop growth report released by the US Department of Agriculture, the proportion of corn with good to excellent growth conditions is 74%, a decrease of 1 percentage point from last week but still 14% higher than the same period last year. However, many farmers are skeptical of this. Soybean growth has reached 72%, in line with market expectations and 13% higher than the same period last year. Spring wheat growth has also reached 72%, slightly lower than market expectations but still 12% higher than the same period last year.
The pressure on the wheat market mainly comes from technical selling and harvesting activities in some areas. The market fundamentals have not changed much, but technical charts show that wheat prices may rebound at current levels. If wheat prices can break through last Friday's high, they may further test the May high point, with the target area between $4.71 and $4.76.
As for the corn market, if it can break through last Friday's high, the chart will reopen the upward trend. Prices may again test the high point in early May. First, it needs to break through last Friday's high, followed by the pressure of some moving averages. It is expected that due to the impact of high temperature weather, the corn market may attempt to rebound in the coming weeks.
The USDA June Monthly Report will be released at 0:00 Beijing time on Thursday and may not have a major impact on the market. The market is more concerned about the planting area report and quarterly inventory report at the end of June. Currently, there is a large difference in market predictions for planting areas, which may have a significant impact on the supply-demand balance of corn.
(The above content is from the latest Market Minute on June 11)