Soybean price tumbled on Wednesday at the Chicago Exchange on expectations of weather improvement in US agricultural areas, pressuring soybean futures. 

Climate experts expect cooler and wetter weather conditions east of the Mississippi with intense rainfall on Iowa, Minnesota, and Wisconsin next week. 

Such conditions would reduce the negative impact of the recent heat waves in the US and boost production.

An Argus report also noted that corn in particular is facing additional pressures due to the expectations of excellent harvest in Brazil.

Now traders await the crucial USDA report on the size of land available for agriculture in the US, with a higher than expected reading pressuring grain prices even further.

Drop in Ethanol Production

The EIA also reported a drop in US ethanol production last week to 1.081 million bpd, down 28 thousand bpd from the previous week.

Ethanol inventories rose by 286 thousand barrels last week to 24.4 million barrels. 

Corn

On trading, corn futures due in December fell 1.5% to $4.22 a bushel.

Soybeans 

Soybean futures fell 1.8% to $10.18 a bushel.

Wheat

Wheat September futures fell 1.4% to $5.44 a bushel.

Ethereum rose on Wednesday amid uncertainty in the global markets about the Iran-Israel ceasefire, which might not hold as hoped for. 

Fed Chair Jerome Powell testified ahead of Congress that the Federal Reserve isn’t in a hurry to cut interest rates.

Trump continued his attacks against Powell and said he hoped Congress would take “this stubborn and stupid person” into account, adding that America will pay the price of “his stupidity” for many years to come. 

Trump said there’s no inflation in the US and the economy is doing great, and asked once more for interest rates to be down by two or three percentage points, which would save the government $800 billion a year.

Trump also stated at the NATO meeting in Europe that the Iran-Israel ceasefire is in effect but warned of the possibility of resumed hostility between both sides.

Crypto Bill

Republicans in the Senate proposed a new bill to regulate the crypto industry.

The bill allows for crypto trading platforms to register at the CFTC regulatory body, giving it a more legal and lenient status compared to the Biden’s administration. 

The new bill comes a week after the Senate also passed the Stablecoins bill to regulate their trading, which is considered a considerable win to the crypto industry.

Investors are expanding their investments in crypto companies, with Digital Asset gathering $135 million in financing from Goldman Sachs and Citadel Securities among others.

The company describes itself as a crypto regulator body, and intends to use the financing to expand its blockchain network to connect major institutions to the crypto world. 

Ethereum

On trading, ethereum rose 0.3% as of 20:54 GMT on Coinmarketcap to $2430.5.

Gold prices rose on Wednesday as the dollar fell against most major rivals amid uncertainty about the Iran-Israel ceasefire. 

Fed Chair Jerome Powell testified ahead of Congress that the Federal Reserve isn’t in a hurry to cut interest rates.

Trump continued his attacks against Powell and said he hoped Congress would take “this stubborn and stupid person” into account, adding that America will pay the price of “his stupidity” for many years to come. 

Trump said there’s no inflation in the US and the economy is doing great, and asked once more for interest rates to be down by two or three percentage points, which would save the government $800 billion a year.

Trump also stated at the NATO meeting in Europe that the Iran-Israel ceasefire is in effect but warned of the possibility of resumed hostility between both sides.

Otherwise, the dollar index fell 0.2% as of 20:29 GMT to 97.6, with a session-high at 98.2, and a low at 97.6.

On trading, gold spot prices rose 0.4% as of 20:30 GMT to $3348.3 an ounce. 

The Energy Information Administration reported a drawdown of 5.8 million barrels in US crude stocks to 415.1 million barrels last week, while analysts expected a drop of 1.3 million barrels.

Gasoline stocks fell by 2.1 million barrels to 227.9 million barrels, while distillate stocks fell by 4.1 million barrels to 105.3 million barrels.