GRAIN CALLS
Corn: 1 cent lower to 1 cent higher.
Soybeans: 1 cent lower to 1 cent higher.
Wheat: 1 cent lower to 1 cent higher.
GENERAL COMMENTS: Corn, soybeans and wheat each saw a quiet night of overnight trade, straying little from unchanged. Bulls are set up to open prices higher with some modest buying pressure going into the break. Outside markets are mixed this morning as front0month crude oil futures are modestly higher but still near recent lows while the U.S. dollar index is around 250 points higher.
USDA reported daily sales of 134,000 MT of soybeans for delivery to China during the 2025-26 marketing year.
The U.S. Department of Agriculture is unlikely to do a second-round package of financial aid for struggling U.S. farmers amid trade tensions and low crop prices. That’s according to Richard Fordyce, a USDA undersecretary, who spoke in an interview with Bloomberg on Thursday and cited current budget constraints. “We’re kind of where we are and that’s kind of going to be it — just based on dollar availability” at USDA, Fordyce said in the interview with Bloomberg. He was unclear if Congress might step in to contribute more funds for additional aid.
The Bank of Japan on Friday raised its benchmark interest rate to the highest level in 30 years and signaled more hikes are likely in the pipeline. However, the Japanese yen weakened due to disappointment that the messaging from the central bank wasn’t stronger, Bloomberg reported. BOJ Governor Kazuo Ueda’s policy board increased the rate by a quarter percentage point to 0.75% in a unanimous decision, according to its statement Friday. The central bank cited the rising likelihood of its economic outlook being realized and pointed to data showing solid wage growth momentum and receding risks from U.S. tariffs. The rate change was expected by all 50 economists surveyed by Bloomberg.
Russian President Vladimir Putin said Friday that Moscow’s troops were advancing across the battlefield in Ukraine, voicing confidence that the Kremlin’s military goals would be achieved nearly four years after he ordered troops into the neighboring country. Speaking at his highly orchestrated year-end news conference, Putin declared that Russian forces have “fully seized strategic initiative” and would make more gains by the year’s end, reported the Associated Press. “Our troops are advancing all across the line of contact, faster in some areas or slower in some others, but the enemy is retreating in all sectors,” Putin said at the annual live news conference.
CORN: March corn saw consolidation overnight. Resistance stands at $4.46 1/4 on persistent strength. Bulls are looking to keep prices above $4.42 1/2 on a turn lower.
SOYBEANS: January soybean sellers have stalled near the psychological $10.50 mark. Prices are oversold on the daily chart, falling eight out of the last ten session. Bulls are eyeing resistance at $10.60 on a bounce.
WHEAT: March SRW futures have seen consolidation the past couple sessions. Support stems from the contract low at $5.04. Bulls are eyeing resistance at $5.18 3/4 on a push higher.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Higher.
CATTLE: Cattle futures are expected to open with a mostly firmer tone, though continued profit-taking could limit the downside after the open. Cattle futures traders are awaiting this afternoon’s USDA monthly cattle-on-feed report. A Reuters survey showed analysts, on average expect cattle on feed as of Dec. 1 at 98.4 percent from the same time last year, at 11.79 million. Placements in November are seen at 92% of last year, at 1.652 million head. Marketings in November are seen at 88.7% from last year at the same time, at 1.530 million head. Cash trade so far this week remains light but will pick up today. Wholesale beef ended Thursday mixed and has had choppy action recently with holiday features wrapping up.
HOGS: Lean hog futures are expected to open higher in a continuation of recent strength. Bulls remain in full control of the technical advantage with prices in a solid uptrend on the daily bar chart. The CME lean hog index continues to work higher, though index is up just a penny to $83.88 as of Dec. 17. A weaker quote today could limit bulls’ optimism. Pork cutout fell $1.11 to $97.43 Thursday, led by losses in bellies and hams, though movement was very light at 184 loads.