By Kirk Maltais


--Wheat for September delivery rose 2.1% to $5.50 a bushel on the Chicago Board of Trade on Tuesday, responding to a slight decline in the winter wheat crop condition reported by the USDA Monday.

--Soybeans for July delivery rose 0.1% to $10.26 1/4 a bushel.

--Corn for July delivery fell 0.9% to $4.21 1/2 a bushel.


HIGHLIGHTS


Finding Support: Winter wheat crop condition slipped one point to 48% good or excellent for the week, the USDA said in its latest Crop Progress report Monday afternoon. This buoyed wheat futures throughout the day. Weather is expected to stay consistent this week, with hot and dry conditions across the Corn Belt, said Michael Cordonnier of Soybean and Corn Advisor Inc. The USDA said 73% of corn is in good or excellent condition, up one point from the prior week. Soybean conditions were left unchanged at 66% good or excellent.

Big Beautiful News: Soybean futures finished the day lower, but were supported by strength in soybean oil futures, which closed up 1.7% after the Big Beautiful Bill tax bill passed through the Senate. The House now has to vote on the Senate bill, with July 4th seen as the proposed deadline for the budget's passing. The bill's inclusion of rules calling for North American feedstocks to produce biofuels has given soyoil futures a lift, said AgResource in a note.

Consistency: USDA reports of higher grain stocks and planted acreage largely unchanged from earlier estimates are pressuring CBOT corn and soybeans in early trading. Corn acreage was reported at 95.2 million acres, while soybean acres were seen at 83.4 million. "The figures differed only marginally from the planting intentions published at the end of March," said Commerzbank in a note. That along with stocks seen as higher than projected by analysts pressured grain futures.


INSIGHT


Losing Interest: The dollar is weakening as a result of foreigners' declining appetite for the greenback, Deutsche Bank's George Saravelos writes, citing DB's ETF flow data. Foreigners "are no longer buying enough dollar assets to finance America's huge current account deficit." He points to Monday's data showing first-quarter net international investment position shrinking modestly to -$24.61 trillion from 4Q's -$26.54 trillion, due to U.S. assets underperformance and dollar weakness. A weaker U.S. dollar is positive for grain futures, as it makes U.S. export offerings more competitive on the world stage.

Export Question: The optimism of U.S. farmers surrounding the farm economy had a negative turn in the past month, according to a survey from Purdue University and the CME Group. Most of the darkening sentiment has to do with growing pessimism surrounding U.S. agricultural export sales. "From May to June, the percentage of producers who said they expect increasing agricultural exports over the next five years dropped to 41% from 52%," the researchers said in a note. Crop producers have most notably grown more skeptical about exports, while livestock producers remain optimistic about their overall economic prospects.


AHEAD


--The EIA will release its weekly ethanol production and stocks report at 10:30 a.m. ET Wednesday.

--The USDA will release its weekly export sales report at 8:30 a.m. ET Friday.

--The CFTC will release its weekly Commitment of Traders report at 3:30 p.m. ET Friday.


Paulo Trevisani contributed to this article.


Write to Kirk Maltais at kirk.maltais@wsj.com


(END) Dow Jones Newswires

07-01-25 1517ET