WEEKLY MARKET RECAP FROM HOWLETT FARMS:
Week ending June 5, 2026
A quick read on the grain and oilseed markets that drive your feed costs. Prices reflect CME futures and recent market activity; cash offers will vary.
What Moved the Market
• Big-crop outlook: Favorable Midwest weather and fast planting progress have traders expecting large corn and soybean production, the dominant weight on prices.
• Corn at contract lows: Funds kept selling all week, with corn down 29¢ and December new-crop futures setting fresh contract lows — the weakest since February.
• Soy complex breaks down: Soybeans fell sharply, off about 36¢ on the week with a steep Thursday drop; soybean meal followed lower, shedding roughly $21/ton.
• China watch: USDA officials say China is expected to honor a commitment to buy ~25 million metric tons of U.S. soybeans and has begun placing orders — a potential support if it materializes.
Energy & tariffs: Steady ethanol production underpins corn demand; lower equipment tariffs offer modest relief to farm operators.
What It Means for Your Feed Costs
The current environment is broadly favorable for feed buyers. Both major energy and protein ingredients have trended lower over the past several weeks, easing pressure on ration costs heading into summer.
• Corn-based energy: Softer corn supports lower-cost energy in the ration if the big-crop story holds through summer.
• Protein side: Soybean meal has followed beans lower, a tailwind for protein costs — though meal can move independently when crush demand is strong.
• Watch the weather: Traders are pricing in near-ideal conditions. A summer weather scare could reverse declines quickly, so consider how much coverage to lock in.
Talk to Madelyn & McKenna about forward-contracting or layering in coverage while values sit near the lower end of recent ranges.
Looking Ahead — On the Calendar
• USDA Weekly Export Sales & Crop Progress reports (weekly) — track demand and crop condition ratings.
• USDA WASDE supply & demand update — the next major price-setting report.
• Summer Midwest weather — the single biggest swing factor for corn and soybean prices from here.