Corn, soy, wheat prices soar on weather worries
Wheat, corn, and soybeans futures have set multi-month highs amid dry weather concerns. IGTV’s Angeline Ong takes a look at the summer weather outlook, and the impact on harvests this year.
(Video Transcript)
Commodities overview
Dry conditions in the United States The Midwest is raising concerns among soft commodity traders. Wheat, corn, and soybeans are all set for multi-month highs. Let's take a look at that for you, starting with soybeans here on the platform. As you can see, it's been quite a steady march up since the end of May. And it's been getting steeper ever since.
Corn
Same for corn as well. The picture here Let's get corn up for you. There you go. Similar march up for corn. And as you can see, that ties in with the previous chart for soybeans around the end of May.
We're seeing this quick tick up. If you can see from my chart here up to the 600 level, if we progress through and break through the 601 level, we could see a march back up towards 648, a level not seen since the middle of April.
The US Department of Agriculture
Last month, the US Department of Agriculture predicted record corn and soybeans harvests in 2023, and this sent prices to levels not seen since November 2021. But at the end of last month, Chicago wheat hit a two-and-a-half-year low. Now, all this is down to the weather.
Temperatures are on the rise. Crops are already struggling due to the lack of moisture and water, and you can see here a similar trend in wheat futures.U.S. markets will be closed on Monday, so no trading until tomorrow for commodity traders or those wanting to trade these assets on the ag platform.
But we'll be keeping a close eye on the weather forecast for you in the Corn Belt and affected areas in the US. For more videos from us here at IGTV. Join us on Twitter at @IGcom and subscribe to our YouTube channel.
This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
React to volatility on commodity markets
Trade commodity futures, as well as 27 commodity markets with no fixed expiries.1
- Wide range of popular and niche metals, energies and softs
- Spreads from 0.3 pts on Spot Gold, 2 pts on Spot Silver and 2.8 pts on Oil
- View continuous charting, backdated for up to five years
1In the case of all DFBs, there is a fixed expiry at some point in the future.
See opportunity on a commodity?
Try a risk-free trade in your demo account, and see whether you’re onto something.
- Log in to your demo
- Try a risk-free trade
- See whether your hunch pays off
See opportunity on a commodity?
Don’t miss your chance. Upgrade to a live account to take advantage.
- Analyse and deal seamlessly on fast, intuitive charts
- Get spreads from just 0.3 points on Spot Gold
- See and react to breaking news in-platform
See opportunity on a commodity?
Don’t miss your chance. Log in to take your position.
Live prices on most popular markets
- Equities
- Indices
- Forex
- Commodities
Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.
Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.
