Corn is mostly a penny to 2 cents higher at midmorning.
- Corn futures are posting modest followthrough gains as traders anticipate the year-round E-15 vote in Congress.
- The Nationwide Consumer and Fuel Retailer Choice Act, which would allow year-round nationwide sales of E-15 will be voted on in Congress today.
- Southern safrinha corn areas of Brazil received some beneficial rain during the weekend and all of safrinha crop country will experience scattered showers and thunderstorms from late this week into mid-week next week to help reproducing and filling crops, notes World Weather Inc.
- France’s corn plantings will fall by nearly 11% this year, with some farmers expected to shift toward oilseed crops after weather-hit yields in corn last year, according to its farm ministry.
- July corn futures are facing resistance at $4.83 1/2, while the 10-day moving average of $4.76 1/2 serves as initial support.
Soybeans are mostly a nickel higher, while meal is around $9.50 higher. Soyoil futures are mostly 60 points lower.
- Soybeans are being led higher by strong meal gains as spreaders continue to liquidate soyoil longs and purchase meal futures.
- Trade negotiators led by U.S. Treasury Secretary Scott Bessent and China’s Vice Premier He Lifeng held talks in Seoul to prepare for this week’s summit between Presidents Trump and Xi Jinping. “The war in Iran and the latest developments in bilateral trade were likely among the topics topping the agenda during talks lasting about three hours, which concluded around 3:50 p.m. local time,” said a Bloomberg report.
- China, the world’s top soybean importer, expects purchases to slump in the coming season as its hog herd declines, heightening competition for market share just as the U.S. seeks to ramp up sales. The country’s purchases in the season that starts in October are seen dropping 7.6% from the prior year to 95.5 million tons, the agriculture ministry said in its monthly China Agricultural Supply and Demand Estimates report on Tuesday
- July soybeans are facing initial resistance at $12.35 3/4, which is backed by the March 12 high of $12.50 3/4. Support is layered at the 10-, 20- and 40-day moving averages, trading from $12.06 1/2 to $11.87 1/4.
Wheat futures are 2 to 4 cents lower.
- SRW wheat futures are modestly weaker in corrective trade after forging a fresh near-term high.
- World Weather notes temps will trend very warm to hot once again this week stressing some of the U.S. wheat crop this week. Additional moisture is not likely to be abundant and drying will return crop stress as temps heat up next week. Most of the SRW wheat crop in the Midwest remains in good condition.
- Asian flour millers are rushing to secure wheat cargoes after an absence of more than two months, as severe U.S. drought and forecasts for dry weather caused by El Nino across key producing regions raise fears of tighter global supplies, according to Reuters.
- Farm office FranceAgriMer raised its forecast for soft wheat exports within the EU in 2025-26 to 7.75 MMT, up from 7.7 MMT previously.
- July SRW futures are facing resistance at $6.93, which is backed by the psychological $7.00 level. Support lies at 10-, 20- and 40-day moving averages, layered from $6.35 ½ to $6.15 1/2.
Live cattle and feeders are notably higher at midsession.
- Cattle futures are posting strong corrective gains after recent selling.
- Boxed beef declined modestly on Tuesday, with Choice down 49 cents to $390.73 and Select down 22 cents to $391.27.
- June cattle futures are being limited by the 20- and 10-day moving averages, trading at $239.29 and $239.97. Support lies at the 100-day moving average of $231.88.
Hog futures are posting strong gains at midmorning.
- June lean hogs are solidly higher in corrective trade.
- The CME lean hog index is up 7 cents to $90.48 as of May 11.
- The pork cutout value fell $1.46 to $95.52 on Tuesday. Movement totaled 388.7 loads.
- June lean hogs are testing resistance at the 10- and 20-day moving averages, with additional resistance at the 200- and 20-day moving averages, layered at $102.46 and $103.03.