Corn futures are mostly 3 to 4 cents higher at midmorning.
- Corn futures are rebounding from yesterday’s losses on support from demand news, despite negative outside markets.
- USDA reported daily corn sales of 130,320 MT to unknown destinations for 2024-25.
- Weekly ethanol production averaged 1.082 million barrels per day (bpd) during the week ended Feb. 7, down 30,000 bpd (2.7%) from the previous week and 1,000 bpd below the same week last year. That’s the first time weekly production has been below year-ago since the week ended Nov. 29, 2024. Ethanol stocks dropped 720,000 barrels to 25.692 million barrels.
- March corn futures are pivoting around the 20- and 10-day moving averages of $4.87 1/4 and $4.89 1/2. Resistance and support are at $4.92 3/4 and $4.79 1/4.
Soybeans are 10 to 14 cents lower, while soymeal futures are around $2.50 lower. Soyoil is about 60 points lower.
- Soybean futures are extending Tuesday’s weakness as South American production concerns ease amid improving weather conditions.
- USDA reported daily soybean sales of 120,000 MT to unknown destinations for 2024-25.
- India’s palm oil imports in January fell to their lowest in nearly 14 years as refiners turned to cheaper soyoil, driven by negative refining margins for palm oil. Palm oil imports in January fell 45% from December to 275,241 MT, the lowest since March 2011, the Solvent Extractors’ Association of India (SEA) said.
- An Argentine prosecutors’ office said it found irregularities in a planned auction to provide maintenance to the Paraguay-Parana River, a key route for grains transport. Prosecutors found evidence of “serious and evident irregularities in the wording of the tender documents,” they said in a report detailing their findings.
- March soybeans are being pressured by resistance at the 10- and 20-day moving averages, which have converged around $10.50. Support is at the 100- and 40-day moving averages, each trading around $10.23 1/4.
Winter wheat futures are mostly 2 to 5 cents higher. Spring wheat is narrowly mixed.
- SRW wheat futures are mildly firmer in a modest corrective rebound, though a stronger U.S. dollar is limiting buying.
- France’s ag ministry lowered its forecast for 2024-25 French wheat exports outside the EU by 100,000 MT to 3.4 MMT. That would be down 67% from 2023-24 and the lowest level in the ministry’s records dating back to 1996-97. The ministry raised its export forecast within the bloc by 100,000 MT to 6.24 MMT, down just 50,000 MT from 2023-24.
- As of Feb. 12, Ukraine’s 2024-25 grain exports totaled 26.99 MMT, 1.47 MMT (5.8%) ahead of the same period last year. Exports included 11.34 MT of wheat, up from 9.97 MMT last year.
- March SRW futures are consolidating mostly above the 10- and 100-day moving averages of $5.73 1/2 and $5.71 1/2, while resistance stands at $5.84 3/4, which is backed by last week’s high of $5.92 1/2.
Live cattle are modestly firmer while feeders are moderately higher at midsession.
- Nearby live cattle are posting modest corrective gains in the wake of Tuesday’s heavy selling.
- The heavy long liquidation in cattle futures triggered an early start to cash cattle activity, with initial prices mostly around $3.00 lower than last week. With packers slowing kills in an effort to mitigate poor margins and manage tight supplies and feedlots current on marketings, this week’s negotiated cash trade may be limited in size.
- Wholesale beef values fell on Tuesday, with Choice down $1.04 to $322.46, while Select dropped $1.71 to $312.21. Movement improved to 164 loads for the day.
- April live cattle are trading narrowly within Monday’s lower range, hemmed by resistance at the 40-day moving average of $197.00. Support lies at Tuesday’s low of $194.95, which is backed by $194.56.
Hog futures are posting strong gains in most contracts at midmorning.
- Nearby lean hogs continue to push higher amid support from strengthening cash fundamentals.
- The CME lean hog index is up another 44 cents to $86.19 as of Feb. 10, extending the seasonal price climb over the past month.
- The pork cutout firmed a dime on Tuesday to $99.72, also extending its season price rise since early January.
- April lean hogs are testing resistance at Tuesday’s high of $94.525. Support is at $93.47.