GRAIN CALLS
Corn: 1 cent lower to 1 cent higher.
Soybeans: 1 to 3 cents higher.
Wheat: 1 to 3 cents lower.
GENERAL COMMENTS: The grain and soy complex traded in a tight range overnight, straying little from unchanged. Bulls had the edge going into the break, indicating the potential for a higher open. Outside markets are favoring the bulls this morning as front-month crude oil futures are pushing higher while the U.S. dollar index is under modest pressure.
Latest on the war in the Middle East:
--Trump sets deadline deal, including reopening Strait of Hormuz, by Tuesday 8 p.m. ET
--Iran keeps up attacks before U.S. deadline, dimming peace chances
--Iran rejects U.S. proposed ceasefire terms
--Iran’s demands include a permanent end to fighting and the lifting of sanctions
--Israel warns Iranians to avoid country’s railway network until 9 p.m. local time Tuesday
--Saudi Arabia intercepted ballistic missiles fired overnight
USDA on Monday afternoon resumed its weekly crop progress reports. Analysts had estimated U.S. winter wheat conditions would come in at 42% good to excellent, but USDA reported an actual value of 35% for that category. That is down 13% from year-ago levels due to the ongoing drought impacting the Plains. It’s the lowest initial spring rating of the winter wheat crop since 2022. Colorado and Montana noted the sharpest declines in ratings but was partially offset by increases in Idaho and Washington. National conditions for corn, soybeans and other crops will not be provided until the crop has exceeded the 50% threshold of the emergence stage, typically mid-May for corn and early June for soybeans. The inaugural crop progress report for the 2026 season showed U.S. corn planting at 3% complete, with spring wheat at 2% planted and cotton at 5% planted—all in line with analysts polled by Reuters. Compared to last year’s pace, corn and cotton are 1% ahead, and spring wheat is 1% behind. The complete story can be found at ProFarmer.com.
Brazil’s government will expand government tax cuts and subsidies on fuels as it attempts to shield consumers from rising prices due to the war in Iran, broadening measures it had previously unveiled amid the conflict, Bloomberg reports. “President Luiz Inacio Lula da Silva’s administration will temporarily eliminate so-called PIS/Cofins taxes on biodiesel and aviation fuel, while also subsidizing local diesel production and the import of cooking gas, Finance Minister Dario Durigan told reporters Monday,” said the report. The plan includes a subsidy of 1.20 reais per liter for diesel imports, the cost of which will be shared by the federal government and states. It also creates a subsidy of 0.8 reais per liter for diesel produced domestically.
CORN: May corn futures gave up yesterday’s gains overnight. Support comes in at $4.50 on a push lower while bulls are looking to topple resistance at $4.55 3/4 on a bounce.
SOYBEANS: May soybean bulls are looking to hold prices above support at $11.58 1/2. Resistance stands at $11.67 1/4 then $11.70 on strength.
WHEAT: May SRW futures continue to fall under selling pressure. Bulls are looking to hold support at $5.85 1/4 on persistent selling pressure. Resistance comes in at $5.96, the 20-day moving average, then the psychological $6.00 mark on a push higher.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Live cattle futures are expected to open with a mostly firmer tone. Profit-taking could limit gains after the open as summer futures are trading at contract highs. Last week’s cash average surged $9.27 higher than the previous week to $244.96. Cash market strength has underpinned recent futures’ gains. Boxed beef meanwhile struggles to garner much momentum, rising just 26 cents to $388.04. Packer margins are once again deep in the black which could limit packers willingness to negotiate.
HOGS: Lean hogs are expected to open with a mostly firmer tone in a continuation of yesterday’s gains, but persistent weakness in the cash market could limit gains after the open. Additional gains would shift the technical advantage to the bulls. The CME lean hog index is down another 8 cents to $89.93 as of April 3. Pork cutout rose 9 cents to $99.04 Monday, led by gains in ribs and picnics.