GRAIN CALLS
Corn: 4 cents lower to unchanged
Soybeans: 4 cents lower to unchanged
Wheat: 2 to 6 cents lower
GENERAL COMMENTS: Grains opened the overnight higher but gave up those gains to turn slightly negative near the end of the session. The grain markets have been relatively quiet ahead of this week’s WASDE report as position evening drives price action. The U.S. dollar index is just slightly firmer. Front month West Texas crude futures are currently around 25 cents higher at $82.40.
USDA this morning reported flash sales of 136,000 MT of soybeans for delivery to China during the 2026/27 marketing year. The agency also reported 180,000 MT of soybean meal for delivery to the Phillipines during the 2026/27 marketing year.
In Dr. Michael Cordonnier’s weekly report, he left his 2026 U.S. corn yield unchanged at 181.0 bu/ac, with a neutral bias. “Weather last week and over the weekend continued to be favorable for crop development,” he said. Cordonnier also left his 2026 U.S. soybean yield unchanged at 52.0 bu/ac, with a neutral bias. “The weather during the first half of August has been generally favorable for soybean development. If the weather during the second half of August is as good as the first half, the nationwide soybean yield might move slightly higher,” he said.
President Trump hardened his stance toward Iran as negotiations to reopen the Strait of Hormuz continue, pronouncing that the Islamic Republic must pay reparations for past attacks. “Trump made his sweeping new demands on Monday after accusing Tehran of itself seeking compensation for war damages through public statements even though the issue had never been raised in negotiations,” said a Bloomberg report. “I am likewise demanding compensation from Iran, for all of the people that they have killed and gravely wounded with their roadside bombs and many conflicts,” Trump wrote on social media. “Additionally, compensation should be paid to the families of the hundreds of thousands of innocent protestors that Iran has killed over the last 50 years.” Trump on Monday said he’s ready to let economic pressure build on Iran. “The hardening positions on both sides makes it unlikely that Washington or Tehran will be able to agree to any immediate pact on Hormuz, where around a fifth of the world’s oil and liquefied natural gas flowed before the conflict began,” said the report.
The Trump administration on Monday extended its exemption of the Jones Act by another 90 days, but narrowed its scope as it attempts to keep domestic fuel supplies flowing during the Iran war. The Jones Act requires the transport of goods between American ports to be conducted by American vessels. The extension was narrowed to apply only to vessels hauling certain energy sources, CNBC reported, citing a White House official. The extension also requires the Pentagon to consult with the U.S. Maritime Administration to determine if the waiver applies to each individual shipping voyage, the report said.
CORN: December corn futures teetered near both sides of unchanged in the overnight. Corn looks for support at last week’s low of $4.57 1/4, with further support below that mark at the key $4.50. Initial resistance stems from the 100-day moving average of $4.66 3/4, then the psychological $4.75 mark.
SOYBEANS: November soybean futures were slightly weaker overnight. Support comes in at $11.75 then last week’s low of $11.70. Bulls are eyeing resistance at the 40-day moving average of $11.85 1/2, then last week’s high of $11.95.
WHEAT: September SRW wheat futures are lower in overnight trade. Futures have fallen back below the 10-day moving average of $6.44 1/4, which will now act as resistance. Support is seen at the 100-day moving average of $6.28 3/4.
LIVESTOCK CALLS
CATTLE: Choppy/higher
HOGS: Choppy/higher
CATTLE: Live cattle and feeder futures are expected to open choppy to higher. Front month feeders saw mild losses yesterday but inflicted no serious technical damage. Gains in the weekly average cash cattle price reported yesterday afternoon, as well as choice boxed beef surging $7.06 in yesterday afternoon’s report, are supportive for continued strength today.
HOGS: Lean hog futures are expected to open choppy to higher. Yesterday lean hogs notched impressive gains as cutout values showed strength in remaining above the $100 mark. Hogs did bounce lower from yesterday’s 10-day moving average of $83.98 which may serve as resistance again today.