Corn is mostly a penny to 2 cents higher at midmorning.
- Corn futures are extending Wednesday’s strength, in step with soybeans despite a firmer U.S. dollar and lacking government data.
- USDA’s weekly export data, due out today, has been halted by the government shutdown.
- Warm and mostly dry weather will continue in much of the region through Saturday and crop maturation and harvest rates will be higher than usual before cooler temperatures arrive and rain increases Sunday into Tuesday with another round of rain expected Oct. 10-12, according to World Weather Inc.
- December corn futures have found support at the 40-day moving average of $4.15 1/2, though resistance stands at the 10-, 20- and 100-day moving averages, trading from $4.21 1/2 to $4.24 1/4.
Soybeans are mostly 4 to 5 cents higher, while soymeal is $4.00 higher. Soyoil is around 20 points lower.
- Soybeans are being led higher by short-covering in meal futures, which extended to fresh multiyear lows on Wednesday.
- U.S. Secretary Treasury Scott Bessent stated that the federal government would support American farmers considering China’s refusal to buy soybeans and that an announcement would be made Tuesday. “We’ve got their backs,” Bessent said on CNBC. He also noted the administration would work with the Farm Credit Bureau to make sure farmers have what they need.
- World Weather Inc. reports the first half of October will continue to produce erratic rainfall of limited significance in center west and center south Brazil while the second half of the month should show a slowly improving trend. Meanwhile, eastern Argentina, southern Brazil, Uruguay and southern Paraguay may continue wet biased.
- Ukraine’s government has developed but not fully launched a mechanism for duty-free exports of rapeseed and soybeans that have been halted amid confusion over documentation, according to the deputy economy ministry. Parliament passed a bill in July imposing the duty on exports of the two oilseed crops, with the aim of increasing domestic processing volumes and boosting revenue for a state budget strained by the war with Russia.
- November soybeans have found support at the 10-day moving average of $10.12 3/4, while resistance is at the 20-, 200-, 100- and 40-day moving averages, each trading between $10.24 3/4 and $10.30 1/2.
Wheat futures are mostly 3 to 6 cents higher.
- SRW wheat futures posting modest short-covering strength, despite a firmer dollar.
- World Weather notes Brazil’s weather has been well mixed in recent weeks and this year’s wheat crop may be relatively good sized. Some drying may be needed in the south (Rio Grande do Sul) to support grain fill and early maturation.
- Saudi Arabia has issued a tender to purchase 420,000 MT of hard milling wheat, according to the General Food Security Authority.
- December SRW futures are trading between support at $5.07 and the 10-day moving average of $5.17, which is backed by the 20- and 40-day moving averages.
Live cattle are modestly weaker, while feeders are notching heftier losses at midsession.
- Nearby live cattle are modestly weaker in consolidative trade as technical pressure and fading cash and wholesale fundamentals continue to curb buyer interest.
- Cash cattle trade remains slow, though some trade has occurred at slightly firmer prices.
- Wholesale beef continued lower on Wednesday, with Choice down $2.56 to $368.47, while Select slipped 36 cents to $346.89. Movement totaled 151 loads.
- December live cattle continue to consolidate in sideways trade, with resistance at the 20-, 40- and 10-day moving averages, layered from $235.02 to $235.72.
Hog futures are mixed at midmorning.
- Nearby lean hogs have rebounded from earlier lows to notch modest gains as futures’ discount to cash continue to limit heftier selling efforts.
- The CME lean hog index is down 47 cents to $104.26 as of Sept. 30.
- The pork cutout value edged another $1.99 lower on Wednesday, led by losses in primal bellies. Movement totaled 336.7 loads.
- December lean hogs have notched a five-week and for-the-move low, with support layered at $86.06 and $85.22. Initial resistance is at Wednesday’s close of $86.90.