Wheat futures managed to advance on Monday despite a third cancellation of US soft red winter wheat sales by China. The cancellation totaled 504,000 tonnes, nearly a third of what China had purchased late last year. Despite this setback, technical positioning and bargain buying helped push wheat futures higher. Corn futures also firmed up on spillover support from wheat, while soybean futures settled lower due to ample production in South America.
In terms of numbers, the May corn future edged up 2¢ to close at $4.41¾ per bu. Chicago May wheat gained 9½¢ to close at $5.47¼ per bu, Kansas City May wheat jumped 10¢ to close at $5.98¾ per bu, and Minneapolis May wheat added 7¼¢ and closed at $6.70 per bu. May soybeans slipped 4¾¢ to close at $11.79¼ per bu.
Meanwhile, major US equity indexes were mixed on Monday as traders processed economic signals ahead of key inflation data. The Dow Jones Industrial Average added 46.97 points, the Standard & Poor’s 500 lost 5.75 points, and the Nasdaq Composite dropped 65.84 points.
US crude oil prices were mixed, with the April West Texas Intermediate light, sweet crude future easing 8¢ to close at $77.93 per barrel. The US dollar index reversed course and closed higher, ending a six-session downward streak. US gold futures continued to rise, with the April contract adding $3.10 to close at $2,188.60 per oz.
Overall, despite the challenges in the wheat market, the positive movement in corn and the mixed performance of other commodities and equity indexes show a complex and dynamic trading environment.