Market Snapshot | March 18, 2024

Corn futures are choppy in midmorning trade.

• Corn futures are choppy with support coming from the wheat market, while weakness in soybeans limits buying.
• USDA reported corn export inspections of 1.239 MMT (48.8 million bu.) during the week ended March 14, which were up 72,668 MT from the previous week and near the upper end of the pre-report range of 900,000 MT to 1.25 MMT.
• Ukraine’s corn plantings this year are expected to fall 4.5% to 3.863 million hectares, according to the first forecast from the ag ministry.
• Indonesia will pause corn imports as domestic output has started to rise with the beginning of what authorities expect to be a bumper harvest, which is already helping stabilize prices, officials said. Indonesia expects its corn production will rise 10.3% to 5.34 MMT.
• May corn continues to face resistance at the 40-day moving average of $4.40, while initial support lies at $4.32 1/4.

Soybean futures are 4 to 6 cents lower, while soymeal is modestly higher. May soyoil is more than 90 points lower.

• Soybeans continue to be limited by overhead resistance, while profit-taking in soyoil also weighs on prices.
• USDA reported soybean export inspections of 686,181 MT (25.2 million bu.), which were down 98,672 MT from the previous week, but within the wide pre-report range of 300,000 MT to 1.15 MMT.
• Brazil’s soybean harvest for the 2023-24 cycle was 63% complete as of last Thursday, according to AgRural, which was just above last year’s pace of 62% for the same period.
• China will offer up to 226,000 tonnes of imported soybeans for sale via auction on Tuesday, the country’s National Grain Trade Center (NGTC) said in a note published last week. The auction will be for soybeans produced in 2021 and 2022, with a portion reportedly infected with disease.
• May soybeans tested the $12.00 psychological resistance level but continues to struggle to find buying interest above the area. Additional resistance is at last week’s high of $12.17 1/4, while initial support lies at the 40-day moving average of $11.87 1/4.

Winter wheat futures are mostly 9 to 10 cents higher, while HRS is around 7 cents higher.

• Wheat futures are higher with support stemming from weekend attacks on Black Sea ports and cold weather in the U.S.
• Russian air attacks damaged agricultural enterprises and destroyed several industrial buildings in the Black Sea port of Odesa and port city of Mykolaiv over the weekend.
• Frosts and freezes are expected in most areas from the Midwest to the interior Gulf Coast states and southeast Tuesday morning, according to World Weather Inc. Some damage to wheat is expected, although permanent losses to wheat production should be highly localized.
• USDA reported wheat export inspections of 302,302 MT (11.1 million bu.), which fell 164,665 MT from the previous week and were at the low end of the pre-report estimates from 300,000 MT to 500,000 MT.
• May SRW wheat continues to face resistance at the 10-day moving average of $5.37 1/2, while initial support is at Friday’s low of $5.26 3/4.

Live cattle moderately higher, while feeders are posting strong gains.

• Nearby live cattle are posting moderate gains in narrow trade on support from last week’s firmer cash cattle prices.
• Cash cattle firmed last week, potentially challenging the record high from mid-2023.
• Wholesale beef prices rose Friday, with Choice firming $1.12 to $311.90, while Select increased 71 cents to $302.40. Movement was light, however, at only 88 loads.
• April live cattle are pivoting around the 20-day moving average of $187.56, while the 10-day moving average of $187.93 serves as initial resistance. Friday’s close of $187.25 stands as initial support.

Lean hog futures are posting slight gains at midsession.

• April hog futures are mildly firmer, though the premium the contract holds to the cash index is limiting buyer interest.
• The CME lean hog index is up 15 cents to $82.34 as of March 14.
• The pork cutout value rose 22 cents Friday to $93.47. Movement totaled 303.7 loads.
• April lean hogs are trading narrowly within Friday’s upper range as the previous session high of $87.525 serves as resistance, while initial support lies at the 20-day moving average of $85.83.