GRAIN CALLS
Corn: 2 to 4 cents higher.
Soybeans: Steady to 2 cents higher.
Wheat: Winter wheat 1 to 3 cents higher; HRS steady to 2 cents lower.
GENERAL COMMENTS: Corn led strength overnight while wheat and soybeans saw action on either side of unchanged. Export sales coming in above week ago for both soybeans and wheat were supportive fundamental elements, while corn export sales remain rather robust. Outside markets are unfavorable this morning as front-month crude oil futures continue to work lower while the U.S. dollar index is around 450 points higher.
The U.S. has approached China seeking talks over President Donald Trump’s 145% tariffs, a social media account affiliated with Chinese state media said on Thursday. “The U.S. has proactively reached out to China through multiple channels, hoping to hold discussions on the tariff issue,” Yuyuan Tantian said in a post published on its official Weibo social media account, citing anonymous sources. However, Chinese officials continue to publicly deny any formal negotiations are currently underway.
The European Union (EU) is preparing to present a sweeping trade proposal to the U.S. next week aimed at lowering tariffs, encouraging European investment in the U.S. and restoring transatlantic economic ties amid mounting trade tensions. Key elements of the proposal include a potential “zero-for-zero” deal removing tariffs on key industrial goods like autos, chemicals and machinery, measures to make the U.S. more attractive to European investors, including regulatory cooperation, joint efforts to address global trade issues such as Chinese overcapacity and trade imbalances and potential EU commitments to import more U.S. LNG and tech products. EU leaders, including Commission President Ursula von der Leyen, are pushing for a tariff-free deal while retaining the option to impose countermeasures.
Export sales for the week ended April 24:
- Corn: Net sales of 1.014 MMT for 2024-25 were down 12% from the previous week and 13% from the four-week average. Increases came primarily for Mexico and South Korea. Sales came within pre-report expectations ranging from 700,000 MT to 1.5 MMT.
- Soybeans: Net sales of 428,200 MT for 2024-25 were up 55% from the previous week and 27% from the four-week average. Increases came primarily for Germany and Mexico. Sales were in the middle of pre-report expectations from 150,000 to 600,000 MT.
- Wheat: Net sales of 72,000 MT for 2024-25 were up from net cancellations last week but down 24% from the four-week average. Sales were in the middle of expectations ranging from (200,000) to 300,000 MT. Export shipments totaled an impressive 491,700 MT.
CORN: July corn futures led overnight strength. Downtrend resistance lies at $4.81 on continued strength, which nearly matches up with bundled resistance at $4.79-$4.80, the 10, 20, and 40-day moving averages. The 100-day moving average serves up initial support at $4.75 1/2, while additional selling targets Tuesday’s close of $4.70 1/4.
SOYBEANS: July soybean futures saw followthrough selling overnight, though went into the break off session lows. Support continues to stem from the 40-day moving average at $10.41 1/2. Bulls are seeking to break prices back above key psychological resistance at $10.50.
WHEAT: July SRW futures saw action on either side of unchanged overnight. Bulls are seeking to maintain support at the contract low of $5.23 1/4 on resurgent selling, which is buttressed by downtrend support at the same level. Resistance stands at $5.39 1/4, the 10-day moving average, on a bounce.
LIVESTOCK CALLS
CATTLE: Choppy/higher.
HOGS: Choppy/higher.
CATTLE: Live cattle futures and feeders are expected to open with a mostly firmer tone, rebounding from Wednesday’s losses as cash fundamentals remain supportive. Wednesday’s selling pressure reset near-term overbought conditions on the daily bar chart. Cash cattle trade has had a slow start to the week with trade initiating at $214.00, down slightly from a week ago. Wholesale beef weakened Wednesday as Choice cutout dropped $2.95 to $345.31 while Select sunk $1.80 to $322.02. USDA reported net beef sales of 12,900 MT for 2025, which were up 25% from the previous week and 6% from the four-week average.
HOGS: Lean hogs are expected to open with a mostly firmer tone as cash fundamentals are expected to support futures. While June lean hogs closed lower on Wednesday, prices finished well off of session lows, which could lead to strength today. The CME lean hog index is up another 47 cents to $89.25 as of April 29. Traders have narrowed premiums to the cash index the last couple of days and persistent cash market strength could entice traders to further widen those levels. Pork cutout rose 2 cents to $96.61 yesterday, supported by strength in bellies and ribs. USDA reported net pork sales of 34,500 MT, up notably from last week’s disappointing figure and 34% from the four-week average.