DTN Closing Grain Comments    05/06 13:47
   Peace Talk Rumors Trigger Heavy Midweek Selling in Crop Markets

   Row-crop futures were more or less red across the board on Wednesday, after
rumors surfaced that the U.S. and Iran may be close to a plan to at least
restart negotiations, which have been at a standstill now for the past few
weeks. Meanwhile, President Trump warned of higher intensity bombings if Iran
does not agree to a deal. The U.S. is also pausing efforts to escort ships
through the Strait of Hormuz. Overall, the situation doesn't appear at surface
level to be any closer to a resolution as compared to previous efforts, yet
when markets move higher on increased volatility, episodes of headline-driven
profit-taking should be expected and that was the case on Wednesday. Row-crop
fundamentals for the most part still lean neutral to bearish on the front end,
but some degree of seasonal support should remain with a lot still to learn
about 2026 crops and a pivotal demand clue upcoming when President Trump visits
China now in just over a week.

Rhett Montgomery
DTN Lead Analyst

GENERAL COMMENTS:

   July corn closed down 11 1/2 cents and December corn was down 10 1/2 cents.
July soybeans closed down 16 3/4 cents and November soybeans were down 14
cents. July KC wheat closed down 3 cents, July Chicago wheat was down 10 1/2
cents, July MIAX Minneapolis wheat was down 4 cents.