GRAIN CALLS
Corn: 3 to 5 cents lower.
Soybeans: Steady to 2 cents lower.
Wheat: 5 to 7 cents lower.
GENERAL COMMENTS: Grains led weakness overnight with corn and wheat both falling under initial technical support. Soybeans fell under modest selling pressure but remain within Monday’s range still. Outside markets are relatively quiet this morning. Front-month crude oil futures are over $4 off Tuesday’s high, while the U.S. dollar index is down around 185 points.
USDA reported daily export sales of 125,000 MT of corn for delivery to unknown destinations during the 2025-26 marketing year.
President Trump on Tuesday said the U.S. will ensure safe passage of oil from the Middle East to head off a potential energy crisis caused by the war in the region. “The U.S. International Development Finance Corporation will offer insurance to help ensure the flow of energy and other commercial trade in the Gulf, and the U.S. Navy will begin escorting tankers through the Strait of Hormuz if necessary,” said a Bloomberg report. “Trump’s assurances helped calm nerves in some markets, but traders remain skeptical the plan will allow oil flows to return swiftly to normal levels in the region,” said the report. ”The shipping industry sees this as only a partial solution to a historic crisis…. Shipowners are cautious about the insurance provision and the cost and say an issue of confidence cannot easily be solved with the U.S. navy, given Iran’s continued strikes and limited capacity for escorts.”
China’s legislature has signaled a desire for steady relations with the U.S. as the countries prepare for a planned summit between Chinese leader Xi Jinping and President Trump in coming weeks, according to a Bloomberg report. Lou Qinjian, spokesman for the National People’s Congress, told reporters today that “head of state diplomacy” remains the “irreplaceable” driver of bilateral ties. He noted both leaders have maintained regular communication since last year. “China and U.S. both stand to gain from cooperation and lose from confrontation,” Lou said in response to a question from Bloomberg. “China is ready to strengthen communication with the U.S. at all levels and through various channels and create more space for cooperation.” The comments follow reports that U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer will meet Vice Premier He Lifeng in Paris at the end of next week. Those talks aim to finalize deals before Trump’s expected Beijing visit between March 31 and April 2.
The war in Iran has swiftly turned emerging markets into one of the worst places to be for global investors, according to a Bloomberg report. “Stocks and bonds that only days ago were at record highs are now under pressure as traders assess how higher oil prices and a resurgent U.S. dollar — twin shocks unleashed by the conflict — weaken the outlook for some of the world’s fastest-growing economies. Panic swept through South Korea’s trading floors as concerns over the Middle East war sent the world’s hottest stock market to its biggest-ever sell off. Asia has borne the brunt of the sell off, with Korean stocks tumbling 18% this week. The abrupt shift is raising concerns about whether the investment case for emerging markets has changed. Before the war, top money managers had been building long positions across Asia, Latin America and parts of EMEA, betting on robust growth, easing inflation and looser global monetary policies. Now, the prospect of persistently higher energy costs and a stronger U.S. dollar risk triggering a rush to cut exposure,” said the report.
CORN: May corn futures broke down overnight. Prices remain in an uptrend though bulls want to stop the bleeding soon. Support comes in at $4.41 1/4 on persistent selling pressure. Resistance stands at $4.44 1/2 then $4.49 1/2 on a rebound.
SOYBEANS: May soybeans continue to consolidate within Monday’s range. Resistance comes in at $11.75 on a push higher while bulls are looking to hold support at the 10-day moving average at $11.60 1/4.
WHEAT: May SRW futures saw continued selling pressure overnight. Bulls failed to hold support at $5.70 1/2, which now stands as initial resistance. Support comes in at $5.63 on persistent selling pressure.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Live cattle futures are expected to open with a mostly firmer tone. Bulls have defended selling pressure the past couple sessions, indicating an interim low could be in place. Futures continue to trade well below the cash market, which should continue to support futures. Cash cattle trade remains slow to start the week, though reports of lower bids in the south are circulating. Boxed beef meanwhile continues to push higher, as choice cutout surged $6.71 to $388.05 on Tuesday.
HOGS: Lean hogs are expected to open with a mostly firmer tone in a continuation of recent strength. Prices have consolidated the past few days and prices look primed for a technical push higher. The CME lean hog index continues to work higher as the CME lean hog index climbed another 15 cents to $89.84 as of Mar. 2. Pork cutout meanwhile ended Tuesday steady, as gains in ribs were offset by losses in butts and hams.