GRAIN CALLS
Corn: 1 cent lower to 1 cent higher.
Soybeans: 5 to 7 cents lower.
Wheat: Steady to 2 cents higher.
GENERAL COMMENTS: Pre-report positioning is beginning to drive trade ahead of Friday’s Crop Production and Supply and Demand reports. Prices did not stray far from unchanged in corn and wheat while soy saw relative weakness overnight. There was an influx of buying just before the overnight close in meal and soybeans that ultimately got sold. Front-month crude oil futures surged overnight (see item below) while the U.S. dollar index is up around 125 points and near the highest mark in 16 months.
Asian wheat millers are cutting forward commitments in reaction to soaring prices caused by Black Sea disruptions, which have choked off exports from one of the world’s most important growing regions, Bloomberg reported. The report said some millers in Southeast and South Asia are covering needs only through December or closer to delivery, instead of their usual practice of buying as far as six months ahead. USDA says Southeast Asia is the world’s second-largest wheat-importing region this season. Russia and Ukraine have escalated attacks on inbound ships and each other’s port infrastructure in recent months, sharply curtailing exports from the region.
Oil futures surged in overnight trade, with WTI and Brent crude both up more than 5%, after an attack on a tanker in the Persian Gulf and a report in the Atlantic magazine said the White House asked the Pentagon to draft strike options against Iran that could be undertaken before the midterm elections. A unit of the UK Navy said a tanker was hit by projectiles off the coast of Qatar on Wednesday, the first reported strike on a tanker deep within the gulf in about a month, Bloomberg reported. Meanwhile, the formation of Hurricane Isaias in the U.S. Gulf has resulted in producers shutting in more than 510,000 barrels a day of crude production, Bloomberg noted.
Export sales for the week ended Oct. 1:
Corn: Net sales of 769,500 MMT for 2026-27, up 44% from the previous week and 28% from the four-week average. Mexico and Colombia led sales. Sales were in the lower end of expectations ranging from 600,000 MT to 1.7 MMT.
Soybeans: Net sales of 549,900 MMT for 2026-27, down 47% from the previous week and 34% from the four-week average. Sales were primarily for China and Mexico. Sales were in the lower end of expectations ranging from 450,000 MT to 1.2 MMT.
Wheat: Net sales of 451,600 MT for 2026-27, up 56% from the previous week and 68% from the four-week average. The Philippines and South Korea led sales. Sales were in the upper end of expectations ranging from 200,000 to 500,000 MT.
CORN: December corn saw action on either side of unchanged overnight. Bulls are seeking to hold prices above the $5.00 mark while targeting resistance at the 10-day moving average at $5.08 1/2 on a bounce.
SOYBEANS: November soybeans saw continued selling pressure overnight. Support comes in at $12.90 then the 40-day moving average at $12.80 1/4 on continued selling pressure. Resistance at the $13.00 mark comes in on a bounce.
WHEAT: December SRW wheat found support at the 100-day moving average at $6.84. That remains key support on a reversal lower. Bulls are eyeing resistance at $6.94, which is reinforced by the psychological $7.00 mark.
LIVESTOCK CALLS
CATTLE: Choppy/lower.
HOGS: Lower.
CATTLE: Live and feeder cattle futures are expected to open with a mostly weaker tone in a continuation of yesterday’s selling pressure. Futures are still in the upper end of the recent range and cash cattle trade has yet to initiate this week. A lack of guidance from the cash market is likely to make traders hesitant to build premiums in futures. Choice beef slid $3.31 to $375.62 Wednesday, extending the recent slide.
HOGS: Lean hog futures are expected to open lower in a continuation of recent selling pressure. Bears maintain the technical advantage in December futures with a downtrend in place on the daily bar chart. A move to fresh contract lows seems likely at this juncture. The CME lean hog index is down another 31 cents to $78.91 as of Oct. 6, extending the seasonal slide. Pork cutout fell $2.13 to $81.71 Wednesday, led by losses in bellies and hams.