Market Snapshot | February 23, 2024

Market Snapshot
Market Snapshot
(Pro Farmer)

 

Corn futures are mostly 4 to 5 cents lower.

  • Corn futures continue to face selling pressure amid broad selling across the grain and soy complexes and pressure from crude oil.
  • USDA reported corn export sales of 820,400 MT during the week ended Feb. 15, which were down 37% from the previous week and 30% from the four-week average. Net sales were near the low end of the pre-report range of 700,000 MT to 1.5 MMT.
  • Additional Argentina rainfall may not be well distributed for a while, but good subsoil moisture will carry on favorable crop development until greater rain evolves, which should be next week for some areas, according to World Weather Inc.
  • March corn has traded as low as $3.98 1/2, the lowest level since November 2020. Additional support lies at $3.97 1/4, backed by $3.90 1/4, while initial resistance stands at $4.08 1/2.

 

Soybean futures are mostly 4 to 12 cents lower, while May soymeal is around $4.50 lower. May soyoil is marginally lower.

  • Soybeans are trading lower for the third straight session, with poor export sales data weighing on prices.
  • USDA reported soybean export sales of 55,900 MT during the week ended Feb. 15, which marked a new marketing-year low. Net sales were down 84% from the previous week and four-week average and were well below the pre-report range of 300,000 to 800,000 MT.
  • World Weather notes Brazil weather will be mostly favorable for the next two weeks, though some northeastern crop areas will receive a little too much rain over the coming week to ten days, resulting in some potential flooding and drier weather will soon be needed. Drier conditions are expected in some interior and southwestern crop areas of the country.
  • May soybeans have notched a fresh contract low at $11.38 1/4, with next solid support at $11.25 1/4. Initial resistance stands at $11.58 3/4.

 

Winter wheat futures are mostly 3 to 7 cents lower, while HRS is around 2 to 4 cents lower.

  • Wheat futures have given up overnight gains amid weak export data.
  • USDA reported wheat export sales of 233,500 MT during the week ended Feb. 15, which were down 33% from the previous week and 28% from the four-week average. Net sales were short of pre-report estimates ranging from 300,000 to 550,000 MT.
  • Ukraine has exported almost 4.3 MMT of grain so far this month, exceeding the 3.8 MMT shipped over the same period a year earlier, agriculture ministry data showed earlier today.
  • May SRW futures have extended below support at $5.71, with additional support at $5.62 3/4. Initial resistance remains at the 10-day moving average of $5.81 1/4, backed by the 20-day moving average of $5.93 1/2.

 

Live cattle and feeders are slightly to moderately higher at midsession.

  • Nearby live cattle are notably higher, despite limited cash cattle trade ahead of this afternoon’s Cattle on Feed Report.
  • Cash cattle negotiations remained limited Thursday, with both packers and feedlots in no hurry to get anything done. This week’s trade will likely transpire after the Cattle on Feed Report.
  • USDA’s Cold Storage Report will also be out this afternoon. The five-year average is a 2.9 million-lb. increase in beef stocks during the month.
  • Wholesale beef prices rose Thursday, with Choice gaining $1.99 to $299.79, while Select firmed $1.35 to $285.81. Movement totaled 143 loads.
  • USDA reported net beef sales of 12,600 MT for 2024, down 25% from the previous week and 34% from the four-week average.
  • April live cattle face initial resistance at $187.325. Initials support is at today’s low of $185.85.

 

Lean hogs are solidly higher at midmorning.

  • Hog futures are moderately higher amid persisting strength in the cash index.
  • The CME lean hog index rose another 81 cents to $78.78 as of Feb. 21, extending the seasonal recovery that began at the beginning of this year.
  • USDA’s Cold Storage Report will be out this afternoon. The five-year average is a 48.6 million-lb. increase in pork stocks during the month.
  • The pork cutout value rose $1.72 Thursday to $91.89, led higher by gains in primal bellies, hams and ribs. Movement totaled 231.0 loads.
  • USDA reported net pork sales of 28,900 MT for 2024, down 14% from the previous week and 17% from the four-week average.
  • April lean hogs are hovering within Thursday’s upper range, limited by resistance at the previous session high of $88.90, while initial support remains at $85.75.

 

Latest News

After the Bell | March 27, 2024
After the Bell | March 27, 2024

After the Bell | March 27, 2024

Pro Farmer's Daily Advice Monitor
Pro Farmer's Daily Advice Monitor

Pro Farmer editors provide daily updates on advice, including if now is a good time to catch up on cash sales.

Market Watch | March 27, 2024
Market Watch | March 27, 2024

Cash cattle prices soar to all-time high.

Baltimore Bridge Collapse: Limited Impact on Trade Basis Channel Reopening Timeline
Baltimore Bridge Collapse: Limited Impact on Trade Basis Channel Reopening Timeline

RFK Jr. VP | Dairy cattle bird flu update | John Deere layoffs | Dollar/yen exchange rate 34-year high

Ahead of the Open | March 27, 2024
Ahead of the Open | March 27, 2024

Corn and soybeans each favored the downside overnight, with corn leading the way lower. Wheat showed relative strength and went into the break near unchanged.

First Thing Today | March 27, 2024
First Thing Today | March 27, 2024

Corn, soybeans and wheat extended Tuesday’s losses during the overnight session.