Corn futures are around a penny higher at midmorning.
- Nearby corn futures continue to consolidate in an apparent bull flag on the daily bar chart.
- Bunge Global SA has signed definitive agreements to divest its North American dry corn and corn masa milling operations to Grain Craft, marking a strategic exit from a business it has operated since 1979. The deal includes seven facilities across six U.S. states and Mexico.
- USDA reported net sales of 1.562 MT for 2024-25, which were nearly double a week ago and up 39% from the four-week average. Sales came in the upper end of pre-report expectations ranging from 600,000 MT to 1.8 MMT.
- July corn futures are near the upper end of the recent consolidation pattern, but a move higher or lower does not seem likely ahead of the long weekend. Bulls are ultimately looking to challenge resistance at $4.95 then the psychological $5.00 mark, while support comes in at $4.89 1/2 then the 10-day moving average at $4.85 1/2.
Soybeans are 4 to 5 cents lower, while soymeal futures are around $1.50 lower. Soyoil is trading slightly higher.
- Soybean futures continue to consolidate in a sideways trading range, continuing that trend from earlier this week.
- China’s commerce ministry urged the U.S. to stop putting “extreme pressure” on China and demanded respect in any trade talks, but the two sides remained at an impasse over who should start those talks.
- This morning’s export sales report showed net sales of 554,800 MT for 2024-25, up noticeably from the previous week and 74% from the four-week average. Sales were in the middle of pre-report expectations from 100,000 to 800,000 MT.
- July soybeans are supported by 100-day moving average support at $10.43 3/4. Bulls are struggling to overcome resistance at the psychological $10.50 mark. Additional weakness finds support at $10.38 1/2, while strength finds resistance at yesterday’s high of $10.57 1/4.
Wheat futures are 4 to 5 cents higher.
- Wheat futures are favoring the upside but have given up some of this morning’s gains.
- SovEcon raised its Russian wheat production forecast 1.1 MMT to 79.7 MMT. Winter wheat production was increased 1.5 MMT to 52.2 MMT, while the outlook for spring wheat was lowered 500,000 MT.
- Net export sales totaled 76,500 MT for 2024-25 in the week ended April 10, down 29% from the previous week but up 2% from the four-week average. Sales were in the middle of expectations ranging from (100,000) to 200,000 MT.
- July SRW futures bounced from key uptrend support on Wednesday and are working higher again today. Bulls are eyeing resistance at $5.70 1/4, while bulls are looking to hold prices above uptrend support at $5.58.
Live cattle and feeders are mostly modestly firmer at midmorning, though nearby futures are posting strong gains.
- Nearby live cattle opened higher and have since continued to work higher after filling the gap.
- Cash cattle trade remains abysmal so far this week but expectations have quickly turned to higher trade given the sharp uptick in futures. Trade is likely to develop today, as is the norm on days that hold the Cattle on Feed Report.
- Analysts polled by Urner Barry expect USDA’s Cattle on Feed Report this afternoon to show the April 1 feedlot inventory declined 1.7% from year-ago. The focal point will be placements, which are expected to have risen 3.7% from year-ago levels, due largely to the small number of cattle moved into feedlots in March 2024. Marketings are anticipated to have increased 0.7%.
- USDA reported net beef sales of 17,500 MT for 2025, up 47% from the previous week and 78% from the four-week average.
- June live cattle’s gains stopped just shy of $203.50 resistance this morning, which remains a key target. Additional profit-taking has bulls seeking to hold support at $202.00 then the psychological $200.00 mark.
Hog futures are trading near unchanged at midsession.
- Nearby lean hogs opened lower but have since recovered near unchanged.
- The CME lean hog index is down another 28 cents to $85.09 as of April 15, a fresh for-the-move low. Traders are anticipating a near-term bottom being at hand in the cash hog market.
- Pork cutout inched 31 cents higher on Wednesday to $92.04, led by strength in ribs. Movement remains a little light at 278.24 loads.
- USDA reported net pork sales of 20,500 MT for 2025, down 14% from the previous week and 35% from the four-week average.
- June lean hogs have entered a stiff resistance zone from $98.00 to $98.50 that capped the upside in the latter half of March. Bulls are seeking to hold prices above $97.00 on a pullback.