May 21, 2026

Mid-Co Morning Comments:
 

• Grain markets are mixed this morning, though some firmness worked its way into the market around 5:15 a.m. overnight. Spreads are slightly firmer as well, with CN/CU trading at -6 ½ while SN/SQ has worked back to a slight inverse.
• According to sources, Iran’s Supreme Leader ordered that weapons-grade uranium must remain in Iran. The headline sent crude oil futures sharply higher and runs directly against President Trump’s demand that Iran not retain the capability to produce a nuclear weapon.
• Eastern Corn Belt basis levels remain firm, with a couple ethanol plants continuing to perk up bids. Notable country bids include Mt. Vernon, IN at +40N for June corn and Marion, OH at +35N for May. Soybean processor basis was mostly quiet, though there were reports of Decatur showing +30N for summer soybeans.
• The EIA reported a 7.863 million barrel draw in U.S. crude oil stockpiles last week, well above trade expectations of a 2.5 million barrel decline and larger than the prior week’s 4.3 million barrel draw. Ethanol production was steady week-over-week, with roughly 111 million bushels of corn used in production.
• The Fed struck a more hawkish tone in its latest commentary, which is a notable shift from the messaging we were hearing just a few months ago. Minutes from the April FOMC meeting showed that a majority of officials believe additional policy tightening may become appropriate if inflation continues running persistently above the Fed’s 2% target. Mortgage rates are at its highest since last July.  New Fed Chair Kevin Warsh is set to be sworn in tomorrow during a ceremony at the White House.
• Export sales released this morning were supportive for corn, coming in well above the high end of trade expectations at 83.67 million bushels. Soybean sales totaled 12.91 million bushels, which was in line with estimates. Corn export commitments now sit at 95.29% of USDA’s 3.3-billion-bushel target for the marketing year.