Daily Ag Direction 4/21/25
Good Morning!
Wheat feeling pressure today possibly due to rainfall across the US this weekend and with the more favorable forecasts through the end of April. Amid the general equity selloff today, wheat has held fairly well on a break in the US dollar and mild strength from corn. Southern Russia saw some moisture but most areas including Ukraine stay dry. Good moisture conditions across Europe do not provide any support today. It appears that $5.50 on the KC July contract remains a good support level with trade below $5.30 a cause for more concern about a general break in support. Corn continues to see demand for old crop. General strength in the corn market supports wheat and wet weather should help support corn values in the near term as planting is slowed. Funds added to their long position by 14k contracts with a net long of 145k contracts. Cattle on feed reported 98% of a year ago and placements were at 105% compared to last year. Trade policy and renewable energy policy dominate the oilseed market but some export demand could be on the horizon for beans. Japan has the potential of buying beans and rice as concessions for trade imbalances as tariff negotiations continue. The COT reported a net long of 47k contracts in beans which is a move in the right direction for support.
May KC Wheat -5.6 @ $5.52
July 25 KC Wheat -5.0 @ $5.65
May Corn +1.0 @ $4.83
Dec 25 Corn +0.0 @ $4.66
May Beans -6.4 @ $10.30
Nov 25 Beans -6.4 @ $10.26
May Feeders -0.750 @ $286.100
June Live -0.225 @ $203.850
Please reach out to your CEA Risk Management Advisor if you have any questions. Have a great day!
-Trent
