Corn futures are 1 to 3 cents lower at midmorning.
- Corn futures are facing pressure from a firmer dollar and spillover weakness in soybeans.
- USDA reported 1.04 MMT of corn export sales for the week ending June 4. That is up 13% from the previous week, but down 15% from the four-week average.
- Conab lowered its estimate for the Brazilian safrinha corn crop production to 107.87 MMT, down from 108.45 MMT previously.
- July corn futures are facing resistance around yesterday’s close of $4.19, while finding support from Monday’s low of $4.12 1/2.
Soybeans are 2 to 5 cents lower, while soymeal is $1.00 to $2.00 higher, and soyoil is 30 to 50 points higher.
- Soybean futures are mildly weaker following a pullback from yesterday’s outside day to the upside.
- USDA reported net export sales of 211,300 MT for soybeans, down 25% from last week and down 18% from the four-week average. The agency also reported export sales of 395,700 MT of soybean meal and 800 MT of soybean oil for the week.
- Conab raised its estimate for Brazilian soybean production to 180.25 MMT, up slightly from 180.1 MMT last month.
- July soybeans are working to break a price downtrend that has been in place since early June. Support is at this week’s low close of $11.13 ¾. Resistance is at Friday’s close of $11.21 1/2, with firmer resistance at the 10-day moving average of $11.40 3/4.
Winter wheat futures are 1 cent lower to 4 cents higher while HRS futures are around 2 to 4 cents higher.
- Price action is mixed in winter wheat, with SRW lower as expectations for a sizable production cut in today’s WASDE are minimal.
- USDA reported net export sales of 666,300 MT of wheat for the 2026/27 marketing year, which began on June 1. 298,600 MT were carried over from the 2025/26 marketing year.
- The Rosario grain exchange raised its Argentine production forecast for the 2026/27 wheat crop from 18 MMT to 20 MMT.
- Rains following the heatwave in Europe have caused German-based co-op DRV to raise their expectations for the wheat harvest, increasing their forecast for Germany’s wheat production to 22.63 MMT, up from the previous 22.57 MMT but still down slightly from last year.
- July SRW futures are finding support at last week’s close of $5.80, and will likely face resistance at the 10-day moving average of $5.91 1/2, then the 100-day moving average of $5.99 3/4.
Live cattle and feeders are firmer at midday.
- Cattle futures are seeing continued follow-through strength after consecutive days of gains.
- The current total of screwworm cases in the U.S. stands at seven, with five now confirmed in cattle. Secretary Rollins is scheduled to speak in Texas again today at an event where sterile fly dispersal will take place.
- Yesterday afternoon’s report showed choice boxed beef at $393.29, up 39 cents from the day prior.
- August feeder cattle futures are facing initial resistance at the 20-day moving average of $354.12, with firmer resistance at the 100-day moving average of $358.06. Support is found in the 10-day moving average of $351.11.
Hog futures are mixed at mid-session.
- Lean hog futures are mixed as they work against continued technical pressure.
- Yesterday afternoon’s report showed cutout values at $95.96, unchanged from the previous day as gains in loins and bellies offset losses in hams.
- The most recent CME lean hogs index is up 13 cents to $92.76.
- August lean hogs face resistance at last week’s low close of $95.15, but are finding support from the late-November lows in the $95.00 area.