By Paulo Trevisani


--Corn for December delivery fell 2.1%, to $4.82 1/2 a bushel, on the Chicago Board of Trade on Monday, as weather concerns partially fade and the Pro Farmer tour gets underway.

--Wheat for December delivery fell 2.1%, to $6.25 1/2 a bushel.

--Soybeans for November delivery rose 0.6%, to $13.61 3/4 a bushel.


HIGHLIGHTS


Black Sea Risk: Wheat prices traded lower after the Financial Times reported that Ukraine is nearing a deal with shipping insurers for vessels moving between Black Sea ports. According to the FT, a deal could be in place as early as next month for as many as 30 ships to be insured traveling between Black Sea ports. Last month, Russia opted not to renew the Black Sea Grain deal and fighting has escalated since. The situation has led many insurers to increase rates or completely avoid insuring ships passing through the region.

Flash Sales: The USDA said exporters reported sales of 111,770 metric tons of corn for delivery to Mexico during the 2023/2024 marketing year. They also reported 159,350 tons of soybeans for delivery to unknown destinations in the same period. The flash exports notice came amid concerns that hot, dry weather could hurt crops. In a separate report, the USDA said that export inspections rose for corn and wheat in the week ended Aug. 17, but declined for soybeans.


INSIGHT


Weather Trade: The Pro Farmer tour should provide some insight this week on the effects of bad weather on corn and soybeans. Meanwhile, there are signs of an increase in Chinese import demand for soybeans, ADM's Steve Freed said in a research note. Wheat weakened amid worries that the carryout from 2023/2024 could increase due to lower domestic use, Freed said.

Tour Volatility: As the Pro Farmer tour gets underway, AgResource analysts said in a report that "questions are being asked about soybean and corn seed size," in the face of extreme heat and low soil moisture. "The extreme Midwest heat will have a more acute impact on soy," they said. The tour ends later this week. "Expect Pro Farmer tweets from the field to have an impact" on CBOT prices, AgResource said, adding that those comments are likely to increase market volatility.


AHEAD


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

--The USDA will release its monthly Cold Storage report at 3 p.m. ET Wednesday.

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

--The US Drought Monitor will release its updated map at 8:30 a.m. ET Thursday.

--The USDA will release its monthly Livestock Slaughter report at 3 p.m. ET Thursday.

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


--Jeffrey T. Lewis and Yusuf Khan contributed in this article.


Write to Paulo Trevisani at paulo.trevisani@wsj.com


(END) Dow Jones Newswires

08-21-23 1524ET