By Kirk Maltais


-- Soybeans for July delivery fell 0.9% to $10.43 a bushel on the Chicago Board of Trade on Friday, leading the CBOT lower throughout the day after President Trump posted on Truth Social that China had "totally violated its agreement with us."

-- Corn for July delivery fell 0.8% to $4.44 1/4 a bushel.

-- Wheat for July delivery fell 0.1% to $5.34 1/4 a bushel.


HIGHLIGHTS


Leading the Pack: Soybean futures faced multiple sources of pressure in Friday's session, the main one being indications that President Trump may re-ignite the trade fight with China, this after Trump said that China was failing to live up to its side of agreements that were a prerequisite for further trade negotiations.

Corn and wheat sank in sympathy with soybeans, as they had little else moving prices.

"Corn & wheat markets seem to lack conviction, need a fresh new story," said Brady Huck of Advance Trading.


Downward Trend: In addition to President Trump's Truth Social post regarding China, soyoil futures were under pressure throughout the day because of data from the EIA showing that consumption of soyoil for biofuel production remains well behind the pace of the previous year.

In its latest data covering March, soyoil consumption was 832 million pounds for the month. That is down 19% from the same time last year, although up 44% from the prior month. The 3.1% drop for soyoil futures helped pace the drop in soybeans.


Bottom of the Month: CBOT grains went lower on their final day of trading this month.

Traders are getting their books in order heading into June, said Karl Setzer of Consus Ag Consulting.

"Almost everything so far today has been consolidation after the choppy week," he said. "Today is month end and this is limiting fresh interest in the market."

Traders anticipate trading in June to focus on weather in the U.S., which is also a reason why futures are under pressure this month.


INSIGHT


The Latest Episode: The latest developments in President Trump's ongoing tariff saga reintroduced new uncertainty into the world trade situation.

It isn't immediately clear what China did that made Trump angry, but the market prepared itself for another round of turmoil. This, along with the U.S. court system handling the case against Trump's tariffs, has traders on edge.

"There is a great deal of uncertainty around what the implications for commodity markets are from this week's developments, not least because we're in 'wait and see' mode while legal proceedings unfold," said Kieran Tompkins of Capital Economics in a note.


Smattering of Sales: Export sales of U.S. soybeans fell on the low end of analyst expectations for the week, according to the USDA's latest weekly export sales report.

For the week ended May 22, soybean sales in the 2024-25 and 2025-26 marketing years totaled 178,800 metric tons, landing on the low end of predictions from analysts surveyed by The Wall Street Journal this week.

Wheat and corn sales landed within expectations.

For soybeans, buyers have turned much of their attention to South America. The harvest is completed and those beans are now available on the export market.


AHEAD


-- The USDA is scheduled to release its weekly grain export inspections report at 11 a.m. EDT Monday.

-- The USDA is due to release its monthly grain crushings report at 3 p.m. EDT Monday.

-- The USDA is scheduled to release its weekly crop progress report at 4 p.m. EDT Monday.


Write to Kirk Maltais at kirk.maltais@wsj.com


(END) Dow Jones Newswires

05-30-25 1530ET