Corn is mostly a nickel to 6 cents lower at midmorning.
- Corn futures are correctively lower following Tuesday’s gains despite support from a weaker U.S. dollar.
- The U.S. Grains and BioProducts Council (USGBC) released its 2025-26 Corn Harvest Quality Report, which showed the 2025 U.S. corn crop is projected to be the largest on record, and also highlighted the crop as the lowest rate of broken corn and foreign material (BCFM) in the report’s history.
- Crop stress may rise in parts of western Argentina that miss out on significant rain Sunday into Tuesday when drier weather resumes Dec. 10-11, with a close watch warranted on rain advertised for Dec. 12-15
- March futures have edged back below the 200-day moving average, though support stands at the 20-day moving average of $4.31 1/2. Resistance stems from the Nov. 12 high of $4.36.
Soybeans are mostly 4 to 5 cents lower, while soymeal is around $1.10 higher. Soyoil is around 75 points lower.
- Soybeans are extending losses for a third straight session amid technical selling and spillover pressure from soyoil.
- Several U.S. soybean cargoes are being prepared for China, according to a ship lineup seen by Bloomberg, after a trade pact agreed upon by the two nations several weeks ago. “The lineup shows six ships expected to be loaded at Gulf Port terminals in the next several weeks, carrying a total of at least 320,000 tons of soybeans to China.
- U.S. Treasury Secretary Scott Bessent indicated he was very optimistic about the U.S. economy next year, and reported that China was on track to complete its commitments under a U.S.-China trade agreement, including the purchase of 12 MMT of soybeans, which he said would be finished by the end of February 2026.
- Malaysia’s palm oil inventories likely rose to a more than six-and-a-half-year high in November as exports declined amid record production for the month, according to a Reuters survey.
- January soybeans are facing resistance at the 10- and 20-day moving averages, trading at $11.27 1/2 and $10.32 1/2, while support is layered at $11.20 and $11.15 1/2.
Wheat futures are mostly a penny to 2 cents lower.
- SRW wheat futures are modestly weaker in consolidative trade as technical headwinds loom, though a weaker dollar and technically oversold conditions are curbing a move lower.
- APK-Inform reports the price situation on the Ukrainian wheat market looks “untypically calm.” Analysts noted that typically in Nov-Dec, the price of wheat moves upward, since importers return to the market after summer purchases, but this season the market has been staying in place.
- World Weather Inc. reports winter crop conditions in most of the world are favorable, with crops in the Northern Hemisphere are largely dormant or semi-dormant. Sufficient snow cover will be present to protect crops in most of North America and Asia in areas where temps might be a threat.
- March SRW wheat futures are pivoting around the 10-day moving average, with support at the 40-day moving average of $5.38 1/4 and resistance at the 100- and 20-day moving averages, layered at $5.45 and $5.46 1/4 .
Live cattle and feeders are posting solid gains at midsession.
- Cattle futures have scored a new for-the-move high with support from firmer cash trade to start the week.
- Cash cattle trade has firmed to start the week, sharply higher from last week’s average of $211.53.
- Wholesale beef weakened on Tuesday, with Choice down $4.17 to $364.72, while Select slid $7.10 to $350.78.
- February live cattle are facing resistance at $223.25, while support lies at the 20-day moving average of $218.33.
Hog futures are higher at midmorning.
- Lean hogs are favoring the upside as seasonal weakness in the cash index appears to be coming to an end.
- The CME lean hog index is down another 6 cents to $81.61 as of Dec. 1, with seasonal losses easing as the calendar year winds down.
- The pork cutout value fell 57 cents on Tuesday to $94.22, led by losses in primal bellies and loins.
- February lean hogs are trading within Tuesday’s upper range, with support at the 20- and 10-day moving averages of $80.08 and $79.82. Initial resistance stands at $80.92, which is backed by the 40-day moving average.