GRAIN CALLS
Corn: 2 to 4 cents lower.
Soybeans: 2 to 4 cents lower.
Wheat: 6 to 8 cents lower.
GENERAL COMMENTS: Corn, soybeans and wheat each are trading lower this morning with corn and soybeans hitting a fresh for-the-move low. Fund selling has shown little sign of reprieve despite solid demand showing up in the cash market. Front-month crude oil futures are off yesterday’s low but are still lower for the session, while the U.S. dollar index is around 30 points higher.
USDA reported daily export sales of 315,000 MT of corn for delivery to Mexico, 136,000 MT of corn for delivery to South Korea and 134,000 MT of soybeans for delivery to unknown destinations — each for delivery during the 2026-27 marketing year.
The U.S. attacked Iran’s Qeshm Island on Monday, the Wall Street Journal reported, citing U.S. officials, the latest in a series of limited strikes conducted against the country in recent weeks. Some officials described the assaults as defensive, aimed at preventing Iran from having the freedom to attack vessels in the Strait of Hormuz. Oil futures plunged Monday after President Donald Trump played down prospects for a re-escalation of fighting after the midterms with renewed diplomatic efforts under way. Oil took back some of those declines early Tuesday.
Wheat traders have largely taken out a war premium tied to Black Sea bottlenecks resulting from fighting between Ukraine and Russia, but a Reuters report noted that unabating attacks show how the escalating maritime war between Russia and Ukraine is expanding into a major challenge for NATO in the Black Sea that has left littoral member states such as Romania and Bulgaria exposed. Military analysts said they had little doubt that Russia was behind the attacks on ships near Romania and Bulgaria. The report said a naval drone seen on video of the last strike resembled a Russian variant, according to shipping security firm Ambrey. “I think it’s undeniably an escalation,” Sidharth Kaushal, a senior fellow at the London-based RUSI think-tank, told Reuters. The report noted that Russia denies targeting Ukraine’s neighbors with drones and says that European governments are the ones escalating the war in Ukraine by supplying military aid.
USDA’s crop progress update on Monday afternoon showed soybean harvest is all but complete across much of the U.S. growing area, while corn harvest continued to play catch-up. Corn harvest was 74% complete as of Sunday, up from 60% a week earlier and ahead of the 72% average estimate in a Bloomberg survey. The five-year average for this time of year is 77%. The soybean harvest was 94% complete, up from 79% a week earlier and well ahead of the 87% estimate and the five-year average of 84%.
CORN: December corn hit a fresh for-the-move low overnight. Prices traded around $4.50 for five straight session but now look to break lower. Support lies at $4.40 on a push lower, resistance stands at $4.50 then $4.54 on a bounce.
SOYBEANS: January soybeans continue to bleed lower. Prices found tentative support at the 200-day moving average at $12.12 1/2, which is reinforced by the psychological $12.00 mark. Bulls are eyeing resistance at $12.25 on a bounce.
WHEAT: December SRW wheat continues to consolidate in a bear flag on the daily bar chart. Support stems from the psychological $6.00 mark then last week’s low of $5.93 1/4. Resistance stands at the 10-day moving average at $6.15 1/2.
LIVESTOCK CALLS
CATTLE: Choppy/lower.
HOGS: Choppy/higher.
CATTLE: Live and feeder cattle futures are expected to open with a mostly weaker tone in a continuation of recent selling pressure. Weaker cash trade took the wind out of bulls’ sails late last week, as cash cattle slid $3.41 to $223.65. The expectation is now for weaker cash cattle trade into December. Choice beef did rise 38 cents to $365.04 Monday, ending the string of recent losses.
HOGS: Lean hog futures are expected to open with a mostly firmer tone supported by technical buying. Futures are in the lower end of the recent range, which could propel prices higher, but the technical advantage remains in bears hands. The CME lean hog index is down another 82 cents to $65.75. The weakness in the index from the seasonal peak is the most bearish in the last decade. Pork cutout did climb $2.18 to $72.28 Monday, which could entice bulls to lift futures today as well.