Market Snapshot | March 25, 2024

Market Snapshot
Market Snapshot
(Pro Farmer)

Corn futures are chopping around unchanged at midmorning.

  • Corn futures are struggling to find much buyer interest despite gains in other grain/soy complex futures and crude oil.
  • Little rain will fall into Saturday from central Mato Grosso do Sul into Paraguay, southern Sao Paulo and southern Brazil where fieldwork should advance well while stress to safrinha corn may increase in the drier areas in Paraguay and Mato Grosso so Sul, notes World Weather Inc.
  • USDA reported corn export inspections of 1.228 MMT (48.4 million bu.) during the week ended March 21, down 98,332 MT from the previous week but near the upper end of the pre-report range of 900,000 MT to 1.35 MMT.
  • May corn is hovering around the 10-day moving average of $4.38 3/4, while initial resistance stands at $4.41 3/4.  

 

Soybean futures are mostly 9 to 12 cents higher, while soymeal is around $1.50 higher. May soyoil is about 90 points higher.

  • Soybeans are solidly higher in an attempt to recapture a portion of Friday’s losses.
  • Brazil’s soybean harvest was estimated to be 69% complete as of last Thursday, according to AgRural. The figure was slightly below the 70% level for the same period a year ago.
  • USDA reported soybean export inspections of 768,711 MT (28.2 million bu.) during the week ended March 21, up 68,466 MT from the previous week and within the pre-report range of 400,000 MT to 1.0 MMT.
  • May soybeans are supported by the 10-day moving average of $11.98, which is backed by the 40-day of $11.82 3/4. Initial resistance is at $12.06.

 

Winter wheat futures are mostly 7 to 9 cents higher, while HRS is around 4 cents higher.

  • Wheat futures are moving higher for the third straight session amid corrective buying.
  • Russia’s agricultural watchdog proposed the redistribution of quotas among grain exporters in case of systematic failures on the part of exporters, such as Russia’s RIF trading house. Earlier this month, the watchdog said it had noted many complaints about grain shipped by RIF not meeting international standards.
  • USDA reported wheat export inspections of 315,395 MT (11.6 million bu.) during the week ended March 21, down 79,084 MT from the previous week and near the low-end of the pre-report range of 250,000 to 500,000 MT. 
  • May SRW wheat continues to face resistance at the 10-day moving average of $5.68 1/2. Initial support lies at Friday’s close of $5.54 3/4.

 

Live cattle are modestly weaker, while feeders are mixed.

  • Nearby live cattle have rebounded from earlier lows but continue to face pressure from Friday’s bearish Cattle on Feed Report.
  • The report showed the March 1 feedlot inventory up 1.3% from year-ago, as placements jumped 9.7% in February while marketings rose 3.4%.
  • Wholesale beef prices dropped Friday, with Choice falling $3.01 to $310.72, while Select declined $2.26 to $301.47. Movement was light at only 85 loads.
  • April live cattle gapped lower at the open but found support at the 200-day moving average of $185.49 and filled the gap. Resistance stands at the session high of $187.300.

 

Lean hog futures are posting moderate- to strong gains in all but the April contract.

  • April hogs are chopping around unchanged as traders continue to monitor the contract’s premium to the cash index. 
  • The CME lean hog index is up a nickel to $83.59 as of March 21, extending the seasonal climb.
  • The pork cutout value rose $1.30 Friday to $93.38, led by an $11-plus gain in primal ribs. Movement totaled 232.1 loads for the day.
  • April lean hogs continue to face resistance at the 20- and 10-day moving averages, each trading around $85.51, while initial support lies at $84.05. Additional resistance/support is at $86.30 and $83.53.

 

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