June 16, 2026

Mid-Co Morning Comments:
 

• Grain markets are lower this morning with soybeans leading the pressure, as SN26 is down double digits overnight. Spreads were firmer yesterday but have softened back this morning. CN/CU traded into -7 yesterday, though the price ladder still shows sizeable orders still at -9 and -10.
• Crop conditions improved 1% for both corn and soybeans, with corn now rated 68% good/excellent. Iowa corn ratings slipped 5% week over week from 84% to 79% due to excessive rainfall in some areas. Another round of severe weather is expected tomorrow across central IL with threats of damaging winds, large hail, and possible tornadoes. One local weather station has issued an 8/10 tornado risk for the area.
• The Iran deal is expected to be signed Friday, which would fully reopen the Strait of Hormuz. Reports indicate some oil tankers have already made successful trips through the Strait, putting additional pressure on energy markets with July WTI back down near $77/barrel this morning. Fertilizer shipments are expected to follow crude oil and LNG traffic, with reports of more than 40 fertilizer cargoes currently waiting to pass through the Strait.
• This week’s FOMC meeting is expected to leave interest rates unchanged as new Fed Chair Kevin Warsh leads his first meeting. Inflation and the Iran conflict will likely remain key discussion points. Internationally, the Bank of Japan delivered another rate hike, pushing rates to their highest level since the mid-1990s.