Corn and soybean futures finished higher Monday as forecasts for warm, dry U.S. weather restored a weather premium to both markets, while wheat surrendered its early gains and closed mostly lower.
Soybeans saw the sharpest gains as forecasts raised the possibility of crop stress across the northern Plains and portions of the Midwest. September beans jumped 22 cents to $12.15 ½, and November climbed 23 ¼ cents to $12.26 ¼.
Corn advanced as traders focused on the potential for elevated temperatures and limited rainfall across parts of the U.S. Corn Belt. With projected U.S. and global corn supplies offering a smaller cushion against production problems, the market has become increasingly sensitive to changes in summer forecasts. September added 4 ¾ cents to $4.49 ½, and december was 5 ½ cents higher at $4.73.
Wheat futures initially followed corn and soybeans higher, supported by ongoing uncertainty surrounding Black Sea supplies and reduced production expectations in several major growing regions. However, profit taking after recent gains weighed on wheat, while advancing U.S. winter wheat harvest activity also encouraged selling. September Chicago lost 8 ¾ cents to $6.74, and September Kansas City fell 8 ½ cents to $7.23 ¾. September Hard Red Spring slipped 3 cents to $6.95, while September Minneapolis managed to hold a ½-cent gain to $6.92 ¼.
