Market Snapshot | October 30, 2023

Corn is mostly unchanged to a penny lower.

• Corn futures are posting mild losses in step with SRW wheat, soybeans and heavy selling in crude oil.
• Much of Argentina will see a good mix of rain and sunshine during the next two weeks that will allow for crops to develop in a mostly favorable environment while fieldwork should advance between rounds of rain, according to World Weather Inc.
• USDA reported corn export inspections of 531,516 MT (20.9 million bu.) during week ended Oct. 26, which rose 82,255 MT from the previous week and were within the pre-report range of 350,000 to 600,000 MT. 
• December corn is consolidating, mostly between the 10-day moving average of $4.87 1/2 and support at $4.78.

Soybeans are 5 to 8 cents lower, while December meal futures are around $8.00 lower. December soyoil is marginally higher.

• Soybeans are being led lower by profit-taking in meal futures and improved South American forecasts.
• Rain prospects have improved for this week in dry areas of center-west and northeastern Brazil, according to World Weather Inc. Meanwhile, southern Brazil and southern Paraguay remain excessively wet, with flooding in some areas and more rains expected this week.
• AgRural reported Brazil’s 2023-24 soybean plantings were 40% complete as of last Thursday, compared to 46% a year earlier.
• USDA reported soybean export inspections of 1.890 MMT (69.5 million bu.) during week ended Oct. 26, which were down 735,466 MT from the previous week, but within the pre-report range of 1.65 to 2.5 MMT.
• November soybeans tested the 40-day moving average at $13.05 3/4 overnight before weakening. Initial support is at the 20-day moving average of $12.85.

SRW wheat contracts are mostly 2 cents lower, while HRW is 3 to 5 cents higher. HRS contracts are mostly a penny to 2 cents higher.

• SRW wheat is edging slightly lower despite a weaker U.S. dollar.
• Ukraine’s grain exports plunged 49.1% in October from a year-ago to 2.15 MMT, according to the country’s ag ministry. Since July 1, Ukraine has exported 8.9 MMT of grain, down 4 MMT (31.0%) from last year.
• USDA reported wheat export inspections of 189,842 MT (7.0 million bu.), which were up 20,362 MT from the previous week and within the pre-report range of 125,000 to 500,000 MT.
• December SRW futures have come off the overnight low of $5.67 and are trading around the 20-day moving average of $5.74 1/4. Initial support lies at $5.70 1/4.

Live cattle are firmer, with most contracts marking strong gains.

• Nearby live cattle are regaining an additional portion of last week’s losses, with strengthening cash and wholesale fundamentals supporting prices.
• Cash cattle bids strengthened late week last week as packers raised cash bids late Friday in an apparent attempt to buy more cattle.
• Wholesale beef prices rose Friday, with Choice rising 72 cents to $307.57, while Select gained 43 cents to $280.12. Movement totaled 134 loads.
• December live cattle are hovering above the 10-day moving average of $182.525, while initial resistance is at $183.92. 

Lean hogs are posting moderate to strong gains at midsession.

• Lean hog futures are extending last week’s buying efforts, though solid overhead resistance is capping momentum.
• The CME lean hog index is down another 24 cents to $77.95 as of Oct. 26.
• The pork cutout value rose 67 cents Friday to $86.40 amid gains in primal hams and bellies. Movement totaled 276.6 loads.
• December lean hogs have pushed above resistance at $71.325, though the 40-day moving average of $71.83 is serving as solid resistance. Initial support lies at $69.775.