Corn settled lowest since Feb 28 after USDA report released after the close, showed domestic crop is in better condition than analysts had expected. About 76% of U.S. corn was in good or excellent condition, the best rating for the first week of June since 2010. Analysts had pegged 65% to 70% of the crop would earn top ratings. Ample rainfall the past month improved soil moisture, boosting prospects for plants that have recently emerged from the ground.
Showers and thunderstorms are expected in a line from Nebraska through Illinois on Tues-Wed again this weekend. More rainfall than normal is expected in the next six to 10 days. Favorable weather that's expected to continue for the better part of the next 15 days could improve crop conditions further.
Soybeans also declined as rainy weather will improve soil moisture for recently planted crops. About 78% of the U.S. soybean crop was seeded as of Sunday, ahead of 5-year average of 70%, and half had emerged from the ground.
Wheat dropped to a 3-month low on signs of rising global production and favorable weather in the U.S., where rain last week fell in areas that hadn't had precipitation in more than six months. Exports of grain from Ukraine continue to outpace last year's levels. Ukraine exported 31.4 mil mt of grains, including 9 mil of wheat, from July 1 through May 30. Last year the same timeframe, Ukraine exported 23 mil mt of grain.