Note: Due to Wednesday’s Christmas holiday, export sales data for the week ended Dec. 19 will be published Friday morning.
Corn futures are 3 to 5 cents higher at midmorning.
- Corn futures have edged to a six-month high amid technical support and general strength across the ag complex.
- Much of Argentina, Uruguay, Rio Grande do Sul and southwestern Paraguay will get no rain through Tuesday of next week. However, World Weather Inc. notes showers and thunderstorms will increase in the west and north during the middle to latter part of next week, though may be too sporadic and light to counter evaporation.
- March corn futures have extended above the Oct. 2 high, with resistance now serving at today’s high of $4.53, which is backed by resistance at $4.60. Initial support lies at $4.49 1/4.
Soybeans are mostly 11 to 13 cents higher, while soymeal futures are around $10.00 higher. Soyoil is around 20 points lower.
- Weather in Brazil will be wet and milder than usual from center west through center south crop areas during the next two weeks, according to World Weather.
- Soybean futures are edging higher with support stemming from short-covering gains in meal futures.
- Malaysian palm oil futures fell on Thursday after the Christmas break, driven lower by heavy selling and weakness in Dalian palm olein.
- January soybean futures gapped higher at the open, above the 10-day moving average of $9.76 1/2, which is serving up support. Meanwhile, resistance is serving at the 40-day moving average of $9.91 1/2.
Wheat futures are mostly 4 to 6 cents higher.
- SRW wheat futures are firmer, though technical resistance continues to curb buyer interest.
- Russia will remain the world’s leader in wheat exports in 2024-25, though IKAR agricultural consultancy projects its share of global wheat trade will fall to 20% from 25% the previous year. IKAR projects Russia will export 41 MMT of wheat in the upcoming 2025-26 marketing year.
- Algeria’s state grains buyer (OAIC) has booked over a million tonnes of wheat in what is believed to be biggest purchase made in one tender in at least the last seven years, trade sources have told Fastmarkets. However, Algeria never publishes confirmation of purchase, meaning totals should be considered as an estimate, according to trade sources.
- March SRW futures are trading within Tuesday’s range, with resistance standing at the previous session high of $5.41 1/2, while support lies at Tuesday’s low of $5.33 1/2.
Live cattle are solidly higher, while feeders are posting sharp gains at midsession.
- Nearby live cattle are solidly higher as traders pause efforts to liquidate long positions.
- With cash trade expected to be limited this week and next, and funds heavily long, there’s riskof more liquidation pressure, despite futures trading well under cash.
- February live cattle are pivoting mostly around the 40-day moving average, currently trading at $187.63, with resistance serving at the 20-day moving average of $188.57, while support remains at $186.93.
Hog futures are lower at midmorning.
- Hog futures are weaker in low volume trade.
- The CME lean hog index looks to have posted an early seasonal low, traders will keep a close eye on the cash market for any potential weakness.
- Cutout and cash hog trade today will give a look into post-holiday demand as well.
- China’s sow herd totaled 40.80 million head at the end of November, according to its ag ministry, down 1.9% from last year. For the first 11 months of this year, China slaughtered 296.11 million head of hogs, down 2.6% from the same period last year.
- February lean hogs are trading within Tuesday’s range, with resistance at the 10-day moving average of $84.24 limiting buyer interest. However, initial support continues to serve at $83.66.