Corn is mostly 3 to 4 cents lower.
- Corn futures are weaker amid general pressure across the grain and soy complexes, and a firmer U.S. dollar.
- Ethanol production slid to a 13-week low to 1.07 million barrels per day (bpd) during the week ended Aug. 22, down marginally from the previous week. Meanwhile, stocks slid to 22.55 million barrels, which was the lowest level since the week ended Nov. 8, 2024.
- Vietnam is planning to switch completely to ethanol-blended gasoline next year, opening the possibility of more U.S. ethanol and corn imports from the U.S. Reuters reports the Ministry of Industry and Trade has submitted a proposal to the government to switch to E10.
- December corn is supported by the 10- and 20-day moving averages, each trading around $4.06, while initial resistance is at $4.10 3/4, which is backed by the 10-day moving average of $4.12 1/2.
Soybeans are mostly unchanged, while soymeal is around $2.00 lower. Soyoil is mostly 50 points lower.
- Soybeans are modestly weaker amid corrective pressure in meal futures and gloom around lacking new-crop purchases from top importer, China.
- While China still hasn’t purchased a single U.S. cargo of new-crop soybeans, Kang Wei Cheang, an agricultural broker at StoneX told Bloomberg “Brazil can cover most of their needs, seasonality makes it dangerous to rely on South America. That’s why even with politics in play, China usually comes back to U.S. beans when Brazil’s window tightens.”
- European Union soybean imports for the 2025-26 season, which began in July, reached 1.96 MMT by Aug. 24, down 8% from the same period a year earlier, according to European Commission data.
- November soybean futures continue to find support at the 10-day moving average of $01.44 1/4, while resistance stands at $10.56 1/4 and is backed by last week’s high of $10.62 3/4.
Wheat futures are mostly a nickel to 7 cents lower.
- SRW wheat futures are correctively lower amid a pullback from overbought territory and pressure from a firmer dollar.
- Ukraine’s 2025 wheat harvest is forecast at a maximum of 21.8 MMT, down from 22.7 MMT in 2024, according to the UAC farmers’ union earlier today.
- Australia is set to produce between 32 and 35 MMT in its upcoming harvest, according to analysts, who increased their forecasts amid improved crop conditions. The government’s ABARES agency is due to release its latest harvest projections on September 2.
- Sovecon reported this week that a state of emergency may be introduced in 10 of the 54 districts in Russia’s Bashkortostan region due to waterlogged soils, according to Agriculture Minister of the region, Ilshat Fazrakhmanov.
- December SRW futures are testing the 10- and 20-day moving averages, currently trading at $5.65 and $5.69 1/2, for the third straight session, while initial support remains at $5.61 3/4 and is backed by the Aug. 20 low.
Live cattle and feeders are carving strong gains at midsession.
- Nearby live cattle continue to face strong technical and fundamental support amid robust cash and wholesale values as supplies continue to run tight.
- Cash cattle trade has commenced at firmer prices this week, indicating potential for another record week of trade.
- The feeder cattle index jumped to a new all-time high of $359.17.
- Wholesale values continued to push higher, with Choice up $4.68 to $413.17, while Select jumped $5.38 to $390.76 on Tuesday. Movement improved to 106 loads.
- October live cattle have notched a fresh all-time high, though resistance stands at $240.64. Initial support is layered at $237.83 and $237.14.
Hog futures are posting modest- to strong gains at midmorning.
- Nearby lean hogs are boasting strong gains for a second straight session as strength in the cattle complex overshadows cash and wholesale weakness.
- The CME lean hog index is down another 41 cents to $106.86 as of Aug. 25.
- The pork cutout value slid $1.12 on Tuesday to $113.05 led by a $10-plus decline in primal picnics, though all cuts marked losses aside from ribs and butts. Movement totaled 316.7 loads.
- October lean hogs gapped solidly higher and are working on filling the gap from June 26-2, with resistance at $94.80. Initial support lies at Tuesday’s close of $93.425 and is backed by support at $92.78.