Grains’ futures closed lower on Friday’s trading session after prices witnessed a largely volatile market affected by technical maneuvering.
In terms of weather news, expectations showed that June begins with plenty of above-normal temperatures across much of the central U.S. However, the cooler-than-average weather is expected to arrive in many areas this weekend and early next week.
Oil prices fell on Friday’s session, as production hit a record high and OPEC members considered boosting supply to balance rising global demand.
U.S. West Texas Intermediate Crude Oil June futures were down ending the session at 65.71 USD per barrel. Furthermore, Brent Oil August futures were lower to close at 76.61 USD per barrel.
CBOT July futures dropped on Friday pressured by around of technical selling, Wheat July contract closed at 5.23 USD per bushel at the session’s close.
Wheat exports totaled 11.1 million bushels, 1.1 million bushels in old crop sales and another 10.0 million bushels in new crop that came in line with expectations of 11.0 million bushels. However, exports came below prior week’s total of 16.6 million bushels.
The European Commission reduced its 2018/2019 wheat production forecasts from 5.199 billion bushels to 5.155 billion bushels. Also lowered its wheat export estimations for 2017/2018 from 845.1 million bushels to 771.6 million bushels.
CBOT July Corn Futures slumped on Friday’s session after technical sellers stepped in pressuring prices lower. July futures fell 3.5 cents to close at 3.91-1/4 USD per bushel.
Corn totaled 45.0 million bushels, 39.1 million bushels in old crop sales and 5.9 million bushels in new crop. Which was slightly higher of the prior week’s total of 44.4 million bushels and trade estimates of 43.3 million bushels. The weekly amount needed to meet USDA forecasts decreased to 5.8 million bushels. While Corn export shipments reached 74.6 million bushels.
Furthermore, France AgriMer lowered its estimates of corn rated good or excellent from 86 Percent to 84 percent, with the warm, dry conditions pervasive across much of the area.
In May, Brazil exported 2.2 million bushels of corn in May, which fell significantly by 81 percent year-over-year. Brazil also exported around 24 million gallons of ethanol in May, which is 8.5 percent higher year-over-year.
CBOT July Soybean Futures added about 0.5 percent higher on Friday, supported by technical buying after multiple days of steep losses. July futures ended the session at $10.26-1/4 per bushel.
Soybean exports rebounded from the prior week with 10.0 million bushels in old crop sales and another 28.4 million bushels in new crop sales totaling 38.4 million bushels. That total came higher than trade estimates of 36.8 million bushels.
Chinese state companies COFCO and Sinograin have bought at least ten shipments of U.S. soybeans in recent days, although Chinese buyers say they are still uncertain about purchasing U.S. soybeans as trade tensions between China and the U.S is still present.