Daily Ag Direction 6/4/25
Good Morning!
Ukraine delivered another strategic setback to Russia on Tuesday by targeting the sole bridge linking mainland Russia to the occupied Crimean Peninsula. The recent escalation raises concerns about potential disruptions to commodity movement through the Black Sea. However, for now, the likelihood of such an event is still considered to be well below 50%. Even so, traders are keeping a close eye on the situation.
Wheat markets are expected to remain range-bound in the near term, with recent lows holding for now but limited momentum to push prices higher. Attention is turning to the Northern Hemisphere's winter wheat harvest and the development of spring wheat crops. However, the more pressing factor is demand, which remains weak at this stage.
The corn market saw solid price movement overnight, with values trending higher after yesterday’s rebound from six-month lows. The bounce from those lows indicates that buyers continue to see value in U.S. corn at current levels. For now, rallies are expected to remain selling opportunities, as no significant weather threats to U.S. production have emerged on the horizon.
July KC Wheat is -1.25 @ $5.355
July Corn is +4 @ $4.425
Dec Corn is +3.75 @ $4.4225
July Soybeans are +9.75 @ $10.505
Nov Soybeans are +7.25 @ $10.2875
Please reach out to your CEA Risk Management Advisor if you have any questions. Have a great day!
Mike Hellman
580-532-5126
