By Kirk Maltais 



  --Corn for July delivery fell 1% to $3.25 a bushel on the Chicago Board of Trade on Tuesday, with current forecasts showing little in the way of adverse weather coming to the U.S. Corn Belt, meaning that the already large U.S. crop can continue to flourish. 


  --Soybeans for July delivery fell 0.1% to $8.75 a bushel. 


  --Wheat for July delivery rose 0.3% to $4.91 a bushel. 


  HIGHLIGHTS 


  King Corn: Grains traders are looking for the USDA's reports next week to show a high U.S. corn yield amid favorable weather. "There's a great deal of variability in this year's corn crop... yet, the crop as a whole still rates above normal for this time of year, with my seasonally adjusted yield model projecting a 179.3 bushel per acre crop," said Arlan Suderman of INTL FCStone. The USDA's last WASDE report estimated the corn yield at 178.5 bushels an acre this year, up from 167.4 bushels an acre the previous year. 


  Walking Back: Soybean futures were pressured by comments--later walked back--by White House trade adviser Peter Navarro concerning the Phase One trade deal. In an appearance on Fox News on Monday night, Mr. Navarro said the trade deal was "over"--a comment he later told The Wall Street Journal was "taken wildly out of context." President Trump also chimed in, saying the trade deal was still in force, but nevertheless, grains traders remained cautious. 


  Seeing Green: The U.S. dollar weakened for a second day against the Brazilian real and the Russian ruble. After peaking in mid-March, the WSJ Dollar Index has been trending lower. That's good news for U.S. exporters amid tough economic times, said Richard Feltes of RJ O'Brien. 


  INSIGHTS 


  Jumping Beans: The USDA confirmed that 132,000 metric tons of soybeans have been sold to China for delivery in the 2020/21 marketing year. It's the first confirmation of Chinese buying of U.S. soybean exports in roughly a week and helped limit any downward movement in soybeans after questions about the trade deal's continued viability were raised. 


  Stimulus Needed: The current state of Brazil's economy, in the midst of the coronavirus pandemic, still calls for strong monetary stimulus, the country's central bank said in the minutes from last week's policy meeting. The bank cut its benchmark lending rate, the Selic, to a record low 2.25% at that meeting, from 3%. Brazil's economic situation is of keen interest to grains traders, who are hoping that strengthening of the real will continue to make U.S. exports attractive. 


  AHEAD: 


  --The EIA releases its weekly update on ethanol production and inventories at 10:30 a.m. ET Wednesday. 


  --The USDA will release its latest weekly export sales numbers at 8:30 a.m. ET Thursday. 


  --The USDA will release its quarterly hogs and pigs report at 3 p.m. ET Thursday. 


  (Jeffrey Lewis contributed to this article.) 


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