GRAIN CALLS
Corn: 4 to 6 cents higher.
Soybeans: 10 to 13 cents higher.
Wheat: 3 to 6 cents higher.
GENERAL COMMENTS: Grains favored a risk-on tone overnight with corn and wheat rebounding from recent losses. Soybeans are higher and in the upper end of the ongoing sideways range. Front-month crude oil futures surged higher overnight and are trading at multi-month highs while the U.S. dollar index is around 245 points higher.
USDA reported daily sales of 272,000 MT of soybeans for delivery to China and 206,500 MT of soybeans for delivery to unknown destinations — each during the 2026-27 marketing year. Rumors swirled overnight of 1 MMT of Chinese purchases. While the purchases are a welcome sight, they are below what was expected, but that could mean there will be additional announcements tomorrow.
Crude oil prices are surging again and are at three-month highs amid little indication that the U.S.- Iran war is abating. Brent, the global benchmark, extended a rally that saw futures jump to triple figures for the first time since July in the previous session. “Renewed fighting over the past week has ended a period of relative calm, and the prospect of a lengthy conflict is fanning renewed fears of energy-driven inflation as prices for natural gas and diesel also surge. Iran has no intention of backing down in the face of an American naval blockade and will escalate its strikes if the U.S. continues attacking its territory, according to a senior official from the Islamic Republic,” and as reported by Bloomberg.
A Politico report notes that this summer’s European drought and the virtual shutdown of Ukraine’s cheapest export routes is seen creating an opening for U.S. corn. Alexander Döring, secretary general of FEFAC, which represents Europe’s animal-feed industry, told Politico that buyers are looking mainly to North and South America to cover the expected jump in imports, saying his group sees little scope for Ukraine to supply much of the extra corn Europe needs. The EU expects to import around 25 million metric tons of corn between July this year and next June, up from 19.3 million over the previous 12 months, after domestic production fell by roughly 10 million tons, according to Louise Bogey, a European Commission spokesperson for agriculture. Ukraine typically supplies around half of the bloc’s imported corn, she added.
Argentina’s corn exports are set to hit a record 10 million metric tons in August and September, Reuters reported, the result of a bumper harvest and strong international demand tied in part to Europe’s crop woes and Ukraine’s export bottlenecks. “Argentine corn right now is very competitive in price and in volume,” Gustavo Idigoras, head of the CIARA-CEC grains exporters and crushers chamber, told Reuters. Normal export volumes for August-September typically reach about 3 million tons, he said. Idigoras said demand from North African countries — typically buyers of Ukrainian grain — has been the main driver.
CORN: December corn clawed back above the 10-day moving average overnight. That marks a key pivot today at $5.31 1/4. Support comes in at yesterday’s low of $5.26 1/2. Bulls are looking to topple resistance at $5.35 on continued strength.
SOYBEANS: November soybeans continue to trade in a tight range. Resistance stands at $13.24, the contract high, on continued strength. Support comes in at $13.04 then $13.00 on a turn to the lower end of the range.
WHEAT: December SRW wheat are bouncing off 20-day moving average support this morning. Bulls are looking to maintain that mark as support at $7.28 3/4 on a turn lower, while resistance stands as support at $7.41 1/4.
LIVESTOCK CALLS
CATTLE: Choppy/lower.
HOGS: Choppy/higher.
CATTLE: Live and feeder cattle futures fell below support on Wednesday, negating the bullish breakout seen on Tuesday. That could spur additional selling pressure today, though additional consolidation is possible. Cash trade has been slow to develop this week, with no trade reported by USDA thus far. Choice beef meanwhile climbed $3.20 Wednesday, extending the recent bounce on firm movement, which totaled 132 loads.
HOGS: Lean hog futures tested key support before bouncing on Wednesday, giving bulls the technical edge today. Still, a waning cash market is expected to weigh on futures, as the CME lean hog index is down another 86 cents to $88.79 as of Sept. 8. Pork cutout climbed $1.81 Wednesday, led by gains in bellies.