GRAIN CALLS
Corn: 13 to 15 cents higher.
Soybeans: 25 to 27 cents higher.
Wheat: SRW 22 to 25 cents higher; HRW 13 to 16 cents higher; HRS 16 to 18 cents higher.
GENERAL COMMENTS: Corn, soybeans and wheat gapped higher on the overnight open amid White House reports that China will be importing additional U.S. agricultural goods. That made up for some of last week’s losses, but more ground needs to be made up. Front-month crude oil futures are down modestly this morning while the U.S. dollar index is trading around 285 points lower.
A White House fact sheet released over the weekend provided dollar amounts for Chinese agricultural purchases and other outcomes from last week’s summit meeting. “China will purchase at least $17 billion per year of U.S. agricultural products in 2026 (prorated), 2027, and 2028, in addition to the soybean purchase commitments that it made in October 2025. China restored market access for U.S. beef byrenewing expired listings of more than 400 U.S. beef facilities and adding new listings. China will work with U.S. regulators to lift all suspensions of U.S. beef facilities. China resumed imports of poultry from U.S. states determined by the USDA to be free of highly pathogenic avian influenza,” said the fact sheet.
China over the weekend said it agreed with the U.S. to lower levies on some products to promote bilateral trade, “underscoring how ties between the world’s two largest economies are further stabilizing after the historic meeting of the leaders,” Bloomberg reported. China’s Ministry of Commerce on Saturday issued an update on the bilateral trade talks between President Trump and Chinese leader Xi Jinping. “The ministry said Beijing and Washington will adopt a series of measures, including mutually cutting levies on certain products, to expand bilateral trade in areas including agriculture. It didn’t provide more specifics, adding that both teams are still currently negotiating over the details,” said the report. The outcome shows that both countries “can find solutions to the problems through dialog and cooperation,” the Commerce Ministry said. The Commerce Ministry reiterated that the two sides agreed to establish boards of investment and trade to discuss concerns.
CORN: July corn futures gapped higher overnight. Bulls are eyeing resistance at $4.75 on persistent strength, while support comes in at $4.67 1/2 on a reversal lower.
SOYBEANS: July soybean futures surged back above the $12.00 mark overnight. Bulls are eyeing resistance at $12.20 on continued strength. Support stands at $12.00 then $11.91 1/4 on a turn lower.
WHEAT: July SRW wheat bounced overnight. Bulls are eyeing resistance at $6.75 on continued strength. Bulls are looking to hold support at $6.50 on a reversal lower.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Cattle futures are expected to open with a mostly firmer tone in a continuation of Friday’s gains. The overall risk-on tone in the marketplace seen overnight is likely to boost cattle futures this morning, though technical selling could limit gains after the open. Cash cattle trade averaged another record last week, soaring above $260, with the official figure being released later this morning. Choice beef rose $1.80 to $389.25 Friday.
HOGS: Hog futures are expected to open with a mostly firmer tone supported by technical buying. Lean hog futures remain stuck in a technical downtrend on the daily bar chart. The CME lean hog index is down another 2 cents to $90.46 as of May 14, giving up some of last week’s gain. Pork cutout rose $1.01 to $97.56 Friday, led by strength in hams and picnics.