Wheat futures in the US followed corn and soybeans lower by the close. Initially the row crop markets tried to push higher on the back of a hot, dry weather outlook for the US but even that turned a little more positive as the day progressed.
It’s basically too late to worry about heat and dry in the corn and beans now unless it comes in very hard and very fast.

A look at the GFS model for the US also shows us that there will be showers and storms across the vast majority of the Midwest this week so it’s not like the crop will be going into a dry spell, if one actually develops, under stress. The GFS model also shows that Kansas should expect to see further rainfall over the week ahead. Ninety one percent of the Kansas wheat crop is now in the bin so what is likely to be damaged by this week’s rainfall is minimal. HRW has been priced into feed rations for weeks now too, so it’s not going to be a major problem. Yields reports are still very high but test weight has suffered.
Interesting to note the weekly crop condition rating for US spring wheat is back 2% to 70% good to excellent though. Most punters were picking an uptick in the rating to 73% not a slight decrease. This may help spreads in the short term.
The GFS model also shows good rain early in the week across much of Alberta and Saskatchewan cropping districts.
With a USDA WASDE report due out tomorrow the punters were generally just squaring up after a big couple of weeks.