Corn is 1 to 3 cents lower at mid-morning.
- Corn futures are slightly weaker this morning, unshaken by USDA’s increase in their exports forecast yesterday.
- USDA announced the sale of 230,560 metric tons of corn to unknown destinations in 2025/26.
- CONAB will release updated expectations on Brazilian corn production tomorrow, with analysts expecting a 1.3 MMT increase from the January estimate to 140.1 MMT, according to Bloomberg.
- March corn futures dropped below the 10-day moving average this morning, which offered initial support at $4.28 1/2. Support now exists at the psychological level of $4.25 as movement remains rangebound. Resistance exists at the 20-day moving average of $4.29 3/4 and at the 40-day moving average of $4.32 1/2.
Soybeans are 6 to 8 cents lower, while nearby soymeal is around $2.00 lower. Soyoil is around 10 points lower.
- The soy complex is seeing corrective selling after a pullback in the soyoil market.
- Revisions to the White House fact sheet detailing the trade deal with India indicated the potential for soyoil imports is less likely than originally expected, pressuring the soy complex.
- CONAB’s soybean production estimate tomorrow is expected to increase 3.4 MMT from last month to 179.5 MMT, according to a poll of analysts by Bloomberg.
- USDA increased their Brazilian production forecast 2 MMT from last month to 180 MMT
- March soybeans are facing resistance at last week’s intra day high of $11.37 3/4, while support lies at the psychological $11.00 level, with firmer support layered in the 10, 20, and 40-day moving averages.
Wheat futures are 3 to 5 cents higher at midmorning.
- Wheat futures are slightly higher this morning as the contract lifts off the lower end of its currently established trading range.
- Jordan issued an international tender for the purchase of up to 120,000 MT of milling wheat to be sourced from optional origins.
- FranceAgriMer cut the country’s wheat export forecast 300,000 MT, citing competition from Argentine wheat.
- March SRW futures remain rangebound in recent weeks, with firm resistance at last week’s high close of $5.35 1/2, and initial support at the 10-day moving average of $5.29 1/2.
Live cattle and feeders are slightly higher at midmorning.
- Live cattle futures are slightly higher this morning, looking to reverse profit-taking pressure that drove the early week trading direction.
- Cash cattle trade has been inactive to start the week as traders look to futures price action for direction.
- Choice boxed beef fell 21 cents on Tuesday to $367.55. Movement was lighter to start the week coming in at 68 loads total.
- April live cattle futures continue to find support at the 20-day moving average of $237.05, Resistance remains at last week’s high of $244.575.
Hog futures are weaker at midsession.
- Lean hog futures are continuing lower as wholesale fundamentals weaken slightly.
- The CME lean hog index is down 14 cents to $86.32.
- The pork cutout value fell 37 cents to $95.46 yesterday, with loins leading the losses. Movement remained firm at 282.3 loads.
- April lean hogs broke below the 20-day moving average and see the next firm support at the 40-day moving average of $93.57. The 20-day moving average of $95.56 now acts as first resistance for the contract.