Corn is 2 to 4 cents lower at midmorning.
- Corn futures have retreated from the overnight high, as U.S. dollar strength offsets support from surging crude oil futures.
- USDA reported weekly corn inspections totaled 1.86 MMT during the week ended Feb. 26, down 161,615 MT from the previous week , but continued to run 45.3% ahead of year ago. Net inspections topped analysts’ pre-report range of 1.0 MMT to 1.6 MMT.
- Some fertilizer prices rose following the impact of the escalating Middle East conflict on supplies through the Strait of Hormuz, according to metals consultancy, CRU Group.
- Safras & Mercado estimates Brazil’s 2025-26 corn output at 14.71 MMT, compared to its previous estimate of 142.88 MMT. The second sarinha corn corp is estimated at 100.59 MMT, down from 101.79 MMT.
- Tight supplies are constraining Brazil’s sorghum exports in the first half of this year, according to the head z of Chinese sorghum trader Hang Tung. He told Reuters that business should pick up in the second half of the year.
- May corn futures continue to face resistance at the 200-day moving average, currently trading at $4.48, while initial support lies at $4.43 ½, which is backed by the 10-, 40- and 20-day moving averages.
Soybeans are 7 to 10 cents lower, while soymeal is around $8.00 lower. Soyoil is around 120 points firmer.
- Soybean futures are being led lower by meal futures and risk-off trade as market participants assess the implications of escalating tensions in the Middle East.
- USDA reported weekly soybean inspections totaled 1.14 MMT during the week ended Feb. 26, up 456,037 MT from the previous weekend within the pre-report range of 700,000 MT to 1.0 MMT.
- U.S. soybean processors likely crushed 6.789 million short tons, or 226.3 million bushels, of soybeans in January, according to analysts surveyed by Reuters ahead of today’s USDA monthly crush report. “If the average of estimates gathered from seven analysts is realized, the crush would be down 1.5% from the 229.8 million bushels processed in December but up 6.5% from the January 2025 crush of 212.5 million bushels.
- AgRural lowered its Brazilian soybean production forecast to 178 MMT, down from its previous estimate of 181 MMT amid drought=related yield losses in Rio Grande do Sul.
- May soybeans are facing support at the 10-day moving average of $11.57 1/4, while resistance stands at $11.83 1/4.
Winter wheat futures are 6 to 14 cents lower, while HRS futures are mostly 3 cents lower.
- SRW wheat futures have retreated after scoring a fresh near-term high in overnight trade, with pressure stemming from a soaring U.S. dollar.
- USDA reported weekly wheat inspections totaled 344,272 MT during the week ended Feb. 26, down 219,148 MT from the previous week but are still 18.8% ahead of year ago. Net inspections were within the pre-report range of 250,000 to 450,000 MT
- Ukraine’s winter crops are in “relatively satisfactory” condition but up to 20% of the crops might be lost due to severe frosts in February, according to scientists of the Ukrainian National Academy of Agrarian Sciences earlier today.
- Saudi Arabia’s General Food Security Authority purchased 794,000 MT of wheat in an international tender overnight. Traders expect a large part of the purchase to be sourced from Russia, along with some sources in the Black Sea, including Romania.
- May SRW futures continue to face resistance at the psychological $6.00 level, which is backed by the June 20 high of $6.45 1/4. Initial support lies at the 10-, 200- and 20-day moving averages, layered from $5.70 to $5.56.
Live cattle and feeders are lower at midmorning.
- Nearby futures are edging lower for the third straight session amid continued technical selling.
- The hefty futures discount to cash is likely spurring a rebound from earlier lows. Last week’s cash trade will be released later this morning.
- Wholesale beef continued to edge higher on Friday, with Choice up $1.95 to $379.84, while Select rose $3.52 to $374.31. Movement was light at only 74 loads, however.
- April live cattle futures have found support at the 200-day moving average, currently trading at $228.10, while resistance is at the 100-day moving average of $232.51.
Hog futures are modestly weaker at midsession.
- Lean hog futures are weaker in consolidative trade, with weakness in cattle futures limiting buyer interest to start the week.
- The CME lean hog index is up 32 cents as of Feb. 26.
- The pork cutout value rose 39 cents to $97.77 on Friday, amid gains in all cuts aside from primal butts and ribs. Movement totaled 269.4 loads.
- April lean hogs continue to find support at the 20-day moving average of $95.19, which is backed by the 10- and 40-day moving averages. Initial resistance stands at $96.29, with greater resistance at the Feb. 4 high of $99.80.