Soybean futures failed to rebound from yesterday’s sharp losses overnight as corrective buyer interest was limited. Corn and wheat futures mildly rebounded. As of 6:30 a.m. CT, soybeans are trading mostly 3 to 4 cents lower, corn is steady to a penny higher and wheat futures are 1 to 5 cents higher, led by HRS contracts. Front-month crude oil futures are around 50 cents higher and the U.S. dollar index is around 175 points higher this morning.
Barring a final whip count going astray, the House is slated to vote today on both a $1 trillion bipartisan infrastructure (BIF) bill and the larger Build Back Better (BBB) package of social spending and climate measures. The House will first debate the rule for BBB on the floor, a process expected to take an hour.
A bipartisan group of Midwest governors are seeking guidance from EPA Administrator Michael Regan on provisions of the Clean Air Act allowing them to request that the agency grant an exemption to Reid vapor pressure (RVP) volatility requirements for ethanol, which would again open the door to year-round sales of E15 (15% ethanol/85% gasoline) in their states.
President Biden and Chinese leader Xi Jinping are likely to announce the reopening of consulates shuttered last year, Politico reported, which would be one of the biggest steps yet to repair ties fractured during the Trump administration.
Chinese consumers went into a panic after Beijing issued a stock-up warning for food and other daily necessities to citizens ahead of the coming winter season. Since then, a series of damage-control statements have been issued by Chinese government officials and offices.
Saudi Arabia and its OPEC+ allies put oil prices in the hands of President Biden, rejecting his demands for a large bump in production and leaving him the choice of whether to tap America’s Strategic Petroleum Reserve.
Live cattle futures have shot higher the past two weeks only to see the market sharply pull back on Thursday and Friday. As a result, yesterday’s moderate to sharp losses sparked concerns about a repeat performance.
Lean hog futures posted strong gains Thursday on the heels of big weekly export sales. That strengthened the technical picture, suggesting a short-term low has been posted. Traders may be reluctant to extend corrective gains in hog futures until cash fundamentals strengthen.