The latest Market Talks covering Commodities. Published exclusively on Dow Jones Newswires throughout the day.
1211 ET - Corn futures look likely to stay rangebound into the weekend and next Wednesday's WASDE report, Naomi Blohm of Total Farm Marketing says in a note. A smaller corn crop in Europe is known, although not yet by how much, while a question is where the USDA places U.S. corn production. "Europe is a net importer of corn anyway, but now will likely need to import even more corn," she says. And with Black Sea exports still disrupted, the U.S. may benefit from additional EU demand in the coming months. "The overly bearish sentiment for corn has shifted to neutral, and could become quite friendly in 2027 depending on how other countries' corn crops fare, and ultimately where U.S. corn yield ends up." CBOT corn is up 0.6%. (anthony.harrup@wsj.com)
1148 ET - Livestock futures are mixed with cattle down and hogs edging up after two sessions of declines. Early August is a time of procurement for Labor Day, which the next major steak-eating holiday, says Rich Nelson of Allendale. "We're watching very carefully to see if this buying procurement does happen if it has higher wholesale beef prices," he says. There's also concern about U.S. consumers and their ability to spend money on premium beef, he adds, and in that sense the July employment report was "a bit disappointing." Nonfarm payrolls fell by 23,000 last month. Live cattle are off 0.6% and lean hogs up 0.2% on CME. (anthony.harrup@wsj.com)
1123 ET - Soybeans are oversold following their recent decline with room to trade higher on any supportive news, although this is a difficult time of year for a rally, especially with rain in the forecast, Doug Bergman of RCM Alternatives says in a note. "Demand is strong to provide support below the market, but with harvest quickly approaching, there isn't much reason for buyers to aggressively chase the market higher either," he says. November soybeans are up 0.2% but on track for a weekly loss. (anthony.harrup@wsj.com)
1109 ET - Gold prices extend gains, rising above $4,400 a troy ounce after an unexpected drop in U.S. nonfarm payrolls for July dashed expectations of interest-rate hikes in September. New York gold futures are up 2.4% to $4,406.40 an ounce. According to the CME Group's FedWatch tool, traders are now pricing in a nearly 42% chance of a hike from 57% earlier on Friday. Meanwhile, the U.S. dollar index fell 0.3% to 99.64, making dollar-denominated commodities cheaper for overseas buyers. "Markets' focus will now turn to U.S. CPI release next week, while oil prices are also in focus with the weekend approaching and still no sign of a deal," says Fawad Razaqzada from Forex.com. (giulia.petroni@wsj.com)
1007 ET - China continues its purchases of U.S. soybeans, with the USDA announcing flash sales of 238,000 metric tons for 2026/27 marketing year. Private exporters also reported 286,097 tons of corn sales to Mexico--29,808 tons for 2026/27 and 256,289 tons for the 2027/2028 marketing year. Grain futures are broadly higher in early trading, with CBOT corn up 1.1%, wheat up 1.4% and soybeans gaining 0.3%. (anthony.harrup@wsj.com)
0939 ET - U.S. natural gas futures pick up some ground following losses the previous session on the expanding inventory surplus. "Bearish inclined traders appear hesitant in pressing the market lower given proximity to long-term support at the $2.50 area," Ritterbusch & Associates says in a note. Prices could still move toward long-term support barring some broad-based hotter weather patterns in the near term, the firm adds. "But even given such a change, the weather factor is beginning to lose effect as the cooling season winds down with the market forced to place a greater focus on the upcoming low-demand shoulder period." Nymex natural gas is up 1.6% at $2.683/mmBtu.(anthony.harrup@wsj.com)
0907 ET - Oil futures are returning some of yesterday's gains with the market still expecting some sort of deal to reopen the Strait of Hormuz. "While the reopening of the Strait of Hormuz is likely to drive a period of short-term market rebalancing and restore some confidence in global oil flows, any sense of stability is likely to be temporary," Joanne Salih, head of energy and resources strategy at Baringa, says in a note. "Even in the absence of active conflict, the possibility that Iran could again choose to restrict or close the strait will remain an enduring feature of the market." WTI is down 0.6% at $76.85 a barrel and Brent is off 0.8% at $81.87. (anthony.harrup@wsj.com)
0854 ET - Wendy's withdraws its full-year outlook and cuts its dividend, moves the fast-food chain says will aid its ongoing turnaround. The company says it pulled its outlook in order to give new leadership a chance to "fully assess the business opportunities and formulate a comprehensive turnaround plan, including the optimal deployment of capital." And the slashed dividend will provide greater financial flexibility, allowing Wendy's to reinvest more into the business as it aims to spur sales. CEO Bob Wright says the company will rebuild its menu to offer more compelling value and step up its marketing efforts, while also investing in operations, digital capabilities and its restaurants. Shares are off 3.5% premarket. (connor.hart@wsj.com)
0827 ET - Wendy's isn't performing at its potential, says CEO Bob Wright, who returned to the fast-food chain in May to oversee its turnaround. "I believe we can fix our issues and I am excited to work with our team and our franchisees to drive a strong turnaround," he says in a statement. "Our traffic, our value proposition and franchisee economics are not meeting our expectations. We have already begun taking action across five areas that we've identified to drive the turnaround: rebuilding a quality menu at compelling value, marketing that drives demand, operational excellence, a digital experience that builds frequency, and restaurants as an engine for growth." Wendy's falls 3.4% premarket after withdrawing its full-year outlook and cutting its dividend. (connor.hart@wsj.com)
0643 ET - Palm oil closed lower, as market sentiment remains subdued ahead of key industry supply and demand data from Malaysian Palm Oil Board, Kenanga Futures analysts say. Expectations of higher palm oil inventories are also weighing on prices, they add. Kenanga Futures sees support and resistance for the October futures contract at 4,650 ringgit a metric ton and 4,740 ringgit a ton, respectively. The Bursa Malaysia Derivatives contract for October delivery fell 8 ringgit to 4,678 ringgit a ton. (jason.chau@wsj.com)
0523 ET - Saudi Arabia's decision to further lower the price of its flagship crude grade for Asia comes as buyers face higher shipping costs, with Red Sea disruptions forcing some tankers onto longer routes around southern Africa, analysts at ING say. "There has been a push by Asian buyers for the Saudis to cut their official selling prices amid the escalation in the Red Sea," they say. "It means that some tankers are taking the longer and more expensive shipping route around Africa." Saudi Arabia on Thursday lowered the official selling price for September shipments of its Arab Light crude to Asia--the largest market for Middle Eastern oil--by $0.50 a barrel to a discount of $2 a barrel to the Oman/Dubai benchmark. Prices for grades sold to Northwest Europe and the Mediterranean were reduced by $3 a barrel, respectively, while U.S. customers saw a $1-a-barrel decrease. (giulia.petroni@wsj.com)
0417 ET - Copper prices hold above $14,000 a metric ton as fears of potential U.S. import tariffs continue to draw large volumes of metal into the country, tightening physical markets elsewhere. "Tight physical markets, low inventories and constrained mine supply should continue to underpin prices," ING analysts say. However, "with copper trading close to record highs, any disappointment on U.S. tariff measures could trigger a period of consolidation." In early trading, three-month copper futures on the London Metal Exchange are up 0.4% to $14,155 a metric ton, on track for their highest close since mid-May.
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