GRAIN CALLS
Corn: Steady to 2 cents lower.
Soybeans: 2 to 4 cents lower.
Wheat: SRW 5 to 7 cents lower; HRW 9 to 11 cents lower; HRS 3 to 5 cents lower.
GENERAL COMMENTS: Corn, soybeans and wheat each favored the downside in overnight trade with wheat leading weakness. Each is near recent lows and the technicals are beginning to favor bears. Rumors around China entering the U.S. grain market have done little to spur strength across the complex. Front-month crude oil futures are modestly lower after yesterday’s push higher while the U.S. dollar index is trading around 110 points lower.
President Trump says he thinks the U.S. can reach an interim peace deal with Iran soon, with discussions continuing “at a rapid pace.” Iran’s negotiators are discussing their “final text” to send to the U.S., but are wary of the U.S. due to previous breached pledges. A ceasefire in Lebanon is a key part of the potential memorandum of understanding between the U.S. and Iran, with Iran insisting on a stop to fighting as part of the deal.
The White House says it will reduce tariffs on agricultural equipment, such as combines and harvesters, in order to reduce costs for U.S. farmers and manufacturers. Under a proclamation issued late Monday, those tariffs would drop to 15% from 25%. Foreign companies could qualify for a lower 10% duty rate if capital equipment contains at least 85% U.S. steel or aluminum, Bloomberg reported, citing a White House fact sheet. The concession takes effect June 8 and would run through the end of 2027. Shares of Kubota Corp., the Japanese industrial machinery manufacturer, rose as much as 7.9% in Tokyo after the announcement. Trump cited rising costs as a justification for the move. “Among other things, the Secretary has informed me that recent circumstances have affected and are affecting domestic industries that use agricultural equipment, industrial equipment and machinery, and other related products,” the president’s proclamation read.
Corn and soybean crop conditions came in a bit below market expectations in USDA’s first weekly assessment of the 2026 growing season. The agency’s weekly crop progress data showed 67% of the corn crop rated good or excellent as of Sunday. Analysts surveyed by Reuters, on average, looked for a good-to-excellent rating of 70%. The soybean crop was rated 66% good or excellent, versus expectations for 68%. Corn planting was nearly complete at 93% across top-producing states, matching the average estimate. Soybean planting was 87% finished versus expectations for 89%. On the weighted Pro Farmer Crop Condition Index (0 to 500-point scale, with 500 being perfect), the corn crop came in at 371.33, compared with 374.60 at the same time last year. The soybean CCI was 368.10 versus 369.74 last year. For a full rundown of the latest crop progress, conditions and CCI ratings, click here.
CORN: July corn futures traded within Monday’s range overnight. Bulls are looking to hold yesterday’s low of $4.40 on continued selling. Resistance comes in at $4.50 on a bounce.
SOYBEANS: July soybean futures are working lower for the third consecutive session. Support stands at $11.72 1/4 then $11.71 3/4, the 100-day moving average. Bulls are looking to overcome resistance at $11.89 1/4 on resurgent strength.
WHEAT: July SRW wheat hit a fresh for-the-move low overnight. Support comes in at $6.00 then $5.94 1/4 on persistent selling. Resistance stands at $6.10 on a bounce.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Cattle futures are expected to open with a mostly firmer tone, supported by technical buying. Prices bounced Monday, confirming resistance at last week’s for-the-move low close at $239.15. Cash trade averaged $256.86 last week, down $3.63 from the previous week. That is still well above nearby futures, which should limit the downside. Choice beef rose $1.36 to $392.83 Monday, making up some of the recent losses.
HOGS: Hog futures are expected to open with a mostly firmer tone in a continuation of yesterday’s strength. The 10-day moving average proved to be stiff support yesterday, limiting gains. That mark, currently at $101.20, remains a key technical benchmark today. The CME lean hog index is down 4 cents to $91.36 as of May 29.