GRAIN CALLS
Corn: 1 to 3 cents lower.
Soybeans: 3 to 5 cents higher.
Wheat: Winter wheat 2 to 4 cents higher; HRS 1 cent lower to 1 cent higher.
GENERAL COMMENTS: Corn continues to lead weakness as funds cover positions ahead of today’s USDA reports. Wheat and soybeans saw relative strength. It will be a high volatility day, but the key will be where prices close. Front-month crude oil futures are trading near steady while the U.S. dollar index is over 300 points lower.
Latest on the war in Iran:
--Trump mulls exiting war without reopening Strait of Hormuz: WSJ
--Iran hits a fully laden Kuwaiti oil tanker near Dubai
--Earlier, Trump renewed threats against Iranian infrastructure
--Iran fired three missile salvos at Israel on Tuesday morning
--Spain shuts its air space to U.S. flights involved in Iran offensive
--U.S. may re-examine NATO’s merit after Iran war snub, Rubio says
President Trump has told his aides he’s willing to end the U.S. military campaign against Iran even if the Strait of Hormuz remains largely closed, according to a report by The Wall Street Journal--likely extending Tehran’s firm grip on the waterway and leaving a complex operation to reopen it for a later date. “In recent days, Trump and his aides assessed that a mission to pry open the chokepoint would push the conflict beyond his timeline of four to six weeks. He decided that the U.S. should achieve its main goals of hobbling Iran’s navy and its missile stocks and wind down current hostilities while pressuring Tehran diplomatically to resume the free flow of trade. If that fails, Washington would press allies in Europe and the Gulf to take the lead on reopening the strait, the officials said,” according to the Journal.
U.S. gasoline prices at the pump jumped past an average of $4 a gallon for the first time since 2022 today as the Iran war has pushed fuel prices to soar worldwide. The Associated Press said, “According to motor club AAA, the national average for a gallon of regular gasoline is now $4.02 — over a dollar more than before the war began. The last time U.S. drivers were collectively paying this much at the pump was nearly four years ago, following Russia’s invasion of Ukraine. The price is a national average, meaning drivers in some states have been paying well over $4 a gallon for a while now. Prices vary from state to state due to factors ranging from nearby supply to differing tax rates.”
Today’s planting intentions and quarterly grain stocks reports are likely to be grain-markets-movers. A Dow Jones Newswires survey shows the average of analysts surveyed put U.S. planted corn acres at 94.481 million. Traders also expect higher U.S. corn stockpiles as of March 1 than seen at the same time last year. U.S. planted soybean acres are seen by the analysts’ average at 85.463 million acres. Traders also expect higher U.S. soybean stockpiles as of March 1 than seen at the same time last year. U.S. all wheat acres are seen by the analysts’ average at 44.605 million acres. The survey showed traders expect higher U.S. wheat stockpiles as of March 1 than seen at the same time last year.
CORN: May corn futures continue to fall under pressure. Resistance stands at $4.60 on a bounce while bulls are looking to hold support at $4.53 then the psychological $4.50 mark on persistent selling.
SOYBEANS: May soybeans continue to consolidate ahead of today’s reports. Resistance stands at $11.67 3/4 then $11.75 on report driven strength. Support comes in at $11.56 1/4 then the psychological $11.50 mark on a push lower.
WHEAT: May SRW futures are trading near recent highs. Bulls are looking to overcome resistance at $6.25 on report driven strength. Support comes in at the psychological $6.00 mark then $5.95 1/4 on a turn lower.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Live cattle futures are expected to open with a mostly firmer tone in a continuation of recent strength, though steep premiums to the cash market could limit gains after the open. Last week’s cash cattle average rose 68 cents from the prior week to $235.69. Traders anticipate that cash strength to continue into the start of the grilling season. Choice beef rose $1.13 to $394.10 Monday.
HOGS: Lean hogs are expected to open with a mostly firmer tone on corrective strength. Nearby futures continue to fall under pressure as the CME lean hog index undercuts prices. The CME lean hog index is down another 42 cents to $90.76 as of March 27. Pork cutout meanwhile climbed $1.01 to $97.57 Monday, led by strength in ribs, picnics and bellies.