GRAIN CALLS
Corn: 1 cent lower to 1 cent higher.
Soybeans: 10 to 12 cents higher.
Wheat: 1 cent lower to 1 cent higher.
GENERAL COMMENTS: Soybeans continue to lead strength, supported by prospects of China increasing 2025-26 purchases by another 8 MMT to 20 MMT. That supported prices overnight, while corn and wheat struggled to garner any bullish footing. Front-month crude oil futures continue to see volatile trade and are trading lower this morning. The U.S. dollar index is up around 65 points.
Gold and silver futures markets were sharply lower overnight as the two precious metals have become unstable again after posting solid recoveries earlier this week. Spot silver plunged as much as 17% overnight, having flickered briefly above $90 an ounce in early Asian trading, Bloomberg reported. After a record-breaking rally that appeared to run too far, too fast, the metal has retreated by more than a third from an all-time high hit on Jan. 29. The sudden and sharp decline in precious metals also weighed on sentiment in base metals markets, with copper falling more than 1% to slip below $13,000 a ton. Meanwhile, spot gold dropped as much as 3.5% in choppy trading. The recent steep downdrafts in gold and silver prices put some downside pressure on many raw commodity futures markets, including the grains, as well as denting risk appetite across the general marketplace.
The U.S. dollar index overnight notched a two-week high and has made a strong recovery after hitting a four-year low in late January. The greenback has appreciated amid mostly upbeat U.S. economic data releases and following the announcement from President Trump that he has nominated Kevin Warsh as the next Federal Reserve chair. Warsh has in the past leaned hawkish on U.S. monetary policy. Meantime, the European Central Bank is widely expected to keep interest rates unchanged today, as policymakers weigh the impact of a stronger Euro currency. The ECB has held its monetary policy steady since last June. The Bank of England also holds its regular monetary policy meeting today and is also expected to keep rates steady.
Crude oil futures prices fell overnight for the first time in three days after Iran confirmed it will hold negotiations with the U.S., easing the immediate risk of military strikes against the OPEC producer. Brent dropped toward $68 a barrel, after adding 4.8% over the previous two sessions, while West Texas Intermediate was near $64 a barrel. Iranian Foreign Minister Abbas Araghchi confirmed in a social media post that the negotiations will be held in Oman on Friday, clarifying the location of the encounter, Bloomberg said. “Differing positions over the parameters of U.S.-Iran negotiations mean it remains unclear whether the two sides can realistically bridge major differences at a time of heightened tensions in the region, which supplies about a third of the world’s crude. That has reinserted a risk premium into oil prices, which have rebounded this year after slumping in the second half of 2025 on signs of a growing global glut,” said the report.
CORN: March corn futures continue to coil on the daily bar chart. Support comes in at uptrend support, currently at $4.27, while bulls are looking to close prices above resistance at $4.30, the 20-day moving average. Prices have been caught between these two dynamic levels the past two weeks.
SOYBEANS: March soybeans saw followthrough strength overnight. Resistance persists at the psychological $11.00 mark then yesterday’s high of $11.15 1/4. Support stands at $10.85 1/2 on a turn lower.
WHEAT: March SRW futures continue to butt up against 40-day moving average support at $5.23 3/4. Resistance comes in at $5.27 1/4 then $5.33 1/4 on resurgent strength.
LIVESTOCK CALLS
CATTLE: Choppy/lower.
HOGS: Choppy/lower.
CATTLE: Live cattle futures are expected to open with a mostly weaker tone in a continuation of yesterday afternoons selling pressure. April futures hit a more than 3-month high Wednesday but closed nearer session lows. Traders are likely awaiting confirmation from the cash market before pushing premiums higher, as little cash trade has taken place yet this week. Wholesale beef fell under pressure Wednesday with choice sliding $2.69 to $368.02 while select plunged $5.14 to $362.09.
HOGS: Lean hogs are expected to open with a mostly weaker tone in a continuation of yesterday’s selling pressure. Futures are well above the cash market so some additional profit-taking is possible. The CME lean hog index is up another 23 cents to $86.06 as of Feb. 3. Pork cutout fell under heavy pressure Wednesday, plunging $4.37 to $93.00, led by another $19.49 drop in bellies.