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Mike McGlone highlights that late May could mark a peak period for grain prices, following the traditional pattern of the Corn Belt sowing season in April and May.
According to McGlone, a combination of factors—including the Iran conflict, the unprecedented closure of the Strait of Hormuz, surging crude oil, fertilizer supply constraints, and China’s commitment to purchase more U.S. grain—are shaping market dynamics at the end of May.
Earlier this month, McGlone reported that hedge funds were building long positions in soybeans and corn futures as resistance levels for $12 soybeans and $5 corn became important markers in the market [link]. He also noted U.S. natural gas and 30-year Treasury yields testing key resistance, raising questions about peak inflation [link]. These prior observations provide additional context to the current focus on late May as a critical period for grain prices.