Wheat Futures Decline as Fund Traders Pull Out -- Daily Grain Highlights

Wheat futures slide as fund traders exit long positions amid mixed signals on crop health. July CBOT wheat fell 2.2% to $6.21 3/4 a bushel, while July corn declined 1.2% to $4.52 and soybeans were little changed at $11.85 1/2. The pullback came as traders weighed margin calls and questions about USDA crop estimates, even as the USDA Crop Progress report showed a setback in conditions. The report indicated planting progress remains strong, with corn at 86% planted and soybeans at 79%, while spring wheat was 86% planted and winter-wheat conditions remained weak. Analysts noted El Niño and weather expectations as key longer-term factors, though the current session did not hinge on a decisive weather signal. In related notes, ethanol stock forecasts for the week ending May 22 pointed to higher inventories, with production estimates around 1.06 to 1.125 million barrels per day. Hormel Foods is slated to report earnings ahead, while the EIA data will be released soon.