Note: Grain and livestock markets will observe normal trading hours today. All markets and government offices are closed on Wednesday, Jan. 1 for New Year’s Day. There will be no Pro Farmer updates on Wednesday. Grain and livestock markets reopen at 8:30 a.m. CT on Thursday, Jan. 2. Pro Farmer wishes you a happy and safe New Year’s celebration and a prosperous 2025!
Corn futures are mostly 4 to 5 cents higher at midmorning.
- Corn futures have resumed upward momentum following Monday’s corrective pullback.
- South American crop consultant Dr. Michael Cordonnier raised his Argentine corn crop forecast 1 MMT to 50 MMT and maintained his Brazilian corn crop estimate at 125 MMT.
- World Weather Inc. notes the dry bias in Argentina is going to prevail in central and eastern parts of the nation through Jan. 10.
- March corn futures found support around Monday’s close at $4.49 3/4, while resistance at the previous session high of $4.58 1/2.
Soybeans are mostly 9 to 12 cents higher, while soymeal futures are around $4.00 higher. Soyoil is chopping around unchanged.
- Soybean futures are being powered by gains in corn and soymeal futures.
- Due to adjustments in planted acreage, Cordonnier lowered his Argentine soybean crop estimate 2 MMT to 53 MMT. He labels weather in Argentina as “worrisome” amid a hotter, drier pattern. Cordonnier kept his Brazilian crop estimate at 171 MMT.
- China approved safety certificates for 17 crop varieties, including five gene-edited crop varieties and 12 types of genetically modified (GM) soybeans, corn and cotton. The approved gene-edited crops include two soybean varieties, and one each of wheat, corn and rice.
- March soybean futures have extended above the 40-day moving average of $9.99 1/4, with resistance now at $10.13, while initial support lies at the 20-day moving average of $9.89 1/4.
Wheat futures are mostly 1 to 3 cents higher.
- SRW wheat futures are modestly firmer, with U.S. dollar strength limiting buyer interest.
- An arctic air mass is still being closely monitored for impacts to the U.S. HRW wheat region next week. World Weather reports the coldest and most threateningly cold air should occur mainly where there is snow cover, though computer weather model data Is still playing around with the significance of this air mass and confidence will rise around specifics in coming days.
- Ukraine, western Kazakhstan and Russia’s Southern Region will continue to experience limited precip and warmer-than-usual temps through the weekend. There is potential for a little cooling and precip in the second week of the outlook.
- March SRW futures are hovering above the 20-day moving average of $5.48 1/2, with additional support at the 10-day moving average of $5.41 1/2. Initial resistance stands at Monday’s high of $5.54 3/4.
Live cattle and feeders are mostly firmer at midsession.
- Nearby live cattle are firmer amid strength in cash fundamentals.
- Cash cattle averaged $194.81 last week, up 8 cents from the previous week and the sixth straight weekly gain.
- Wholesale beef prices rose on Monday, with Choice gaining $2.99 to $325.37, while Select firmed $3.63 to $294.76. Movement totaled 104 loads for the day.
- February live cattle are trading within Monday’s range, limited by the previous session high and low of $191.60 and $190.13, respectively.
Hog futures are moderately weaker at midmorning.
- Nearby hog futures have rebounded from earlier lows, though technical selling along with fading cash and wholesale fundamentals continue to provide pressure.
- The CME lean hog index is down 50 cents to $84.35 as of Dec. 27, which likely contributed to futures weakness as resurgent seasonal pressure has traders concerned cash weakness could persist into the new year.
- Pork cutout fell 75 cents to $94.32 Monday, led by weakness in hams, though movement surged to 425.49 loads, showing higher demand at lower prices.
- February lean hogs have challenged the 100-day moving average of $80.54 for the first time since mid-September, though backing from the 200-day moving average of $78.86 is curbing sellers. Initial resistance stands at $82.23.