The June Stocks and Seeding report out at 11:00 a.m. today.

Short covering kicked in overnight, with soybeans posting the biggest gains. Concern over damaging Derecho winds whipping through N Missouri, S Iowa, and C Illinois on Thursday afternoon had reports and social media pictures of widespread downed corn (which typically at this stage will stand back up) but estimated impacts of any yield losses are impossible to estimate at this time. Profit-taking into the last trading day of the month/quarter and ahead of the Stocks and Seedings data was also an interest.

Markets will open Sunday evening ahead of the July 4 holiday, and close regular time on Monday, and then reopen at 8:30 a.m. Wednesday morning. Open interest has declined substantially and likely stay subdued until after the holiday. June stocks data will be a swing factor today in determining if data is bullish or bearish.

Russian Foreign Minister Lavrov stated that they see no argument to extend the Black Sea grain deal expiring in two weeks. The grain trade has pretty much accepted this as a given for the last several weeks. Black Sea grain trade is slowing, and Ukrainian grain will now move down the Danube River along with Western transportation via rail and truck.

Forecast models remain consistent in calling for additional Ridge riding storm systems into July 9. Three systems over the next 10 days are anticipated to produce .5-2.50” of rainfall. The first system continues through this weekend, with the second round in the last half of next week. The third one is projected to arrive in the July 8-10 day period. With the blocking high having mood out of Ontario, more normal rain flows are now allowed to occur through the Midwest.

Another round of buying in the cattle trade yesterday with feeder cattle again experiencing sharp gains. The feeder cattle index yesterday jumped $4.96 on Thursday to $230.97, which is the highest since June 2015. Obviously, today’s Grain stocks and Acreage report will produce volatility in corn which will translate into feeder cattle pricing movement. Negotiated trade on Thursday had light sales in Nebraska at $182, which was $1 lower than last week. Feedlots in the Southern Plains passed on packer bids at $179 following the late-week board strength. August live cattle found continued support from the cash market holding well, and yesterday, August cattle produced the second-highest close for the contract.

The heifer share of the Fed cattle market rate remains elevated. Last week the data showed 39% of the Fed cattle kill was heifers compared to the five-year average of 35%. Year-to-date, heifers have become 40% of the Fed cattle kill, which is the most since 2001.