Corn is mostly 2 cents higher at midmorning.
- Corn futures are firmer for the third straight session amid technical buying.
- Frosts and freezes will return to parts of the Midwest during the middle to late part of next week, and with a larger portion of summer crops emerging, impacts on those crops could be more significant than what results from this week’s cold, notes World Weather Inc.
- “The extended closure of the Strait of Hormuz and extreme weather have jolted the price index for farm commodities to a two-year high as fertilizer headaches and the prospect of smaller harvests drive food inflation risks,” said Bloomberg. The Bloomberg Agriculture Spot Index, which tracks 10 of the world’s top-selling crop products, has climbed for a third straight month to the highest level since November 2023.
- July corn futures are facing resistance a t $4.78, while initial support lies at $4.73 1/2.
Soybeans are mostly a nickel higher. Soymeal is around $3.40 lower, while soyoil is 80 points higher.
- Soybeans are being led higher by soyoil futures, while spreaders liquidate meal positions.
- American imports of used cooking oil from China are set to accelerate as increased U.S. biofuel-blending requirements kick in and the Iran war drives up energy costs, making the feedstock a relative bargain, Bloomberg reports. “Two cargoes carrying a combined 339,000 barrels of so-called UCO arrived in the U.S. in the last month or so, according to Kpler data.
- Indonesia’s crude palm oil output this year may drop by up to 2 MMT from 2025 due to El Nino-related dry weather and elevated fertilizer prices driven by the war in the Middle East, according to the head of the country’s palm oil producer association earlier today.
- July soybeans continue to face resistance at $11.93 3/4, while support lies at the 40-day moving average of $11.87 1/2.
Wheat futures are 3 to 8 cents higher.
- SRW wheat futures have pushed to a fresh high amid technical buying.
- Frosts and freezes this morning in Nebraska, northern Kansas and northeastern Colorado likely did no permanent damage to wheat, according to World Weather.
- Russian wheat exports spiked 4.7 MMT in March, up from 2.9 MMT in February after the beginning of the war in the Middle East - that was almost a record high monthly volume as importers rushed to secure supplies, according to the Sizov Report by Sovecon.
- July SRW futures have edged to a fresh near-term high, with resistance serving at $6.69 1/4 and $6.80 1/2. Initial support lies around $6.50.
Live cattle are firmer while feeders are weaker at midsession.
- Nearby cattle futures have forged a fresh record high, but have backed off the high to post moderate gains.
- Cash trade has been slow to develop this week, with no trades so far this week.
- Choice boxed beef fell 66 cents to $388.90, while Select rose 18 cents to $388.78. Movement totaled 98 loads.
- June cattle futures have carved a fresh record high, though resistance stands at $255.32. Initial support lies at Tuesday’s close of $253.50, then at $251.93.
Hog futures are solidly higher at midmorning.
- June lean hogs are solidly firmer but are trading well off the intraday high.
- The CME lean hog index is down another 7 cents as of April 27.
- The pork cutout value fell 97 cents to $98.26 on Tuesday, led by declines in primal hams and ribs. Movement totaled 340.0 loads.
- June lean hogs are testing resistance at the 20-day moving average of $103.38, while support ies at the 10- and 200-day moving averages, layered at $102.34 and $102.31.