GRAIN CALLS
Corn: Steady to 2 cents lower.
Soybeans: 6 to 8 cents lower.
Wheat: Steady to 2 cents lower.
GENERAL COMMENTS: Soybeans continue to lead weakness while grains saw some consolidation overnight. Export sales were good across the curve, which could provide some reprieve and indicates demand has picked up as prices are working lower. Front-month crude oil futures are trading lower this morning while the U.S. dollar index is up around 20 points.
Vice President JD Vance sent a letter to Iranian security chief Mohsen Rezaei, one of the country’s most powerful hardliners, in a bid to revive peace negotiations, the Wall Street Journal reported Wednesday. The report said the letter was sent at President Donald Trump’s direction, noting that some U.S. officials say talking to Iranian hardliners, who have amassed power in Tehran since the war’s outset, might yield a better diplomatic result. Rezaei is secretary of Iran’s Supreme National Security Council, its top security body, and previously was the longest serving commander of the Islamic Revolutionary Guards Corps, the Journal said. Oil futures rose Wednesday after reports the U.S. and Israel are preparing to resume attacks on Iranian targets after next week’s U.S. midterm elections.
European natural gas prices broke above 100 euros per megawatt hour this week (equivalent to more than $30 per million British thermal units) for the first time since 2022, driven by fears of an imminent escalation in fighting in the Middle East and expectations for a cold snap to hit northwestern Europe next week. Surging natural gas prices are seen potentially leading European fertilizer producers to curtail production.
Export sales for the week ended Oct. 22:
Corn: Net sales of 1.304 MMT for 2026-27, down 15% from the previous week but up 32% from the four-week average. Unknown destinations and Mexico led sales. Sales were in the upper end of expectations ranging from 800,000 MT to 1.6 MMT.
Soybeans: Net sales of 2.576 MMT for 2026-27, down 9% from the previous week but up noticeably from the four-week average. Sales were primarily for China and Spain. Sales were in the upper end of expectations ranging from 1.8 to 3.0 MMT.
Wheat: Net sales of 849,800 MT for 2026-27, a marketing year high and up noticeably from the previous week and the four-week average. The Philippines and South Korea led sales. Sales were above expectations ranging from 200,000 to 500,000 MT.
CORN: December corn is trading near recent lows. Bulls are looking to hold prices above $4.50 then Tuesday’s for-the-move low of $4.48 1/2. Resistance stands at $4.60 1/4 on strength.
SOYBEANS: January soybeans continue to slide. Tentative support at $12.30 1/2 is reinforced by the psychological $12.25 mark. Resistance stands at $12.40 then $12.50 on a bounce.
WHEAT: December SRW wheat futures are trading near recent lows. Bulls are seeking to hold prices above the $6.00 mark today. Additional support comes in at $5.93 1/4. Resistance comes in at $6.10 1/4 then the 10-day moving average at $6.24 1/2 on strength.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/lower.
CATTLE: Live and feeder cattle futures are expected to open with a mostly firmer tone. Futures fell on corrective selling the past couple sessions but bulls continue to hold the technical advantage and cash fundamentals remain supportive of higher prices. Cash cattle trade has averaged $228.40 so far this week with light trade taking place. Choice beef slid $3.22 to $369.00 Wednesday.
HOGS: Lean hog futures are expected to open with a mostly weaker tone in a continuation of recent selling, but corrective strength is possible given oversold conditions on the daily bar chart. The CME lean hog index is down another $1.06 to $68.30, extending the seasonal decline. Pork cutout fell 64 cents to $72.45 Wednesday.