Corn futures are mostly 5 to 8 cents lower at midmorning.
- Corn futures are facing sharp selling pressure and are leading the grain and soy complex lower.
- USDA reported corn export inspections of 1.135 MMT (44.7 million bu.) for the week ended Feb. 20, down 488,651 MT from the previous week.
- EPA confirmed the Trump administration will uphold waivers for eight Midwest states, allowing year-round sales of E15 fuel.
- AgRural reported safrinha corn plantings at 64% completed, down from 73% last year at this time but well above last week at 36% completed.
- May corn futures are facing sharp selling pressure. Support comes in at $4.95 1/4 on continued selling, while the psychological $5.00 mark has flipped to initial resistance. Strength above that mark targets resistance at $5.05 1/2.
Soybeans are 5 to 8 cents lower, while soymeal futures are around $1.4 lower. Soyoil is around 85 cents lower.
- Soybean futures are facing followthrough selling following Friday’s reversal lower.
- USDA reported soybean export inspections of 858,679 MT (31.6 million bu.) for the week ended Feb. 20, up 132,179 MT from the previous week.
- AgRural reduced its Brazilian soybean production forecast by 2.8 MMT to 168.2 MMT, led by cuts to the crop in Rio Grande do Sul. The firm said soybean harvest reached 39% as of last Thursday, nearly caught up to last year’s 40% on this date.
- May soybeans are trading near the lower end of the recent range. Bulls are seeking to hold prices above support at $10.48 3/4, which is reinforced by $10.41 1/4. Resistance stands at $10.56, the 10-day moving average.
Wheat futures are mostly 11 to 14 cents lower.
- SRW wheat futures are facing sharp selling pressure amidst a technical breakdown.
- USDA reported wheat export inspections of 375,546 MT (13.8 million bu.) for the week ended Feb. 20, up 125,416 MT from the previous week.
- Warming is expected across U.S. winter wheat acres, which is expected to reduce winter hardiness, though no greening is expected, says World Weather Inc. Temperatures are expected to remain warm over the next couple of weeks.
- May SRW futures are facing sustained selling pressure. So far, the 20-day moving average at $5.77 has limited the downside, while additional support stands at $5.68 1/2. Bulls are seeking to challenge the 10-day moving average at $5.84 1/4 on a bounce.
Live cattle and feeders are posting modest gains at midsession.
- Nearby live cattle are modestly firmer as they continue to base near recent lows.
- As expected, last Friday’s Cattle on Feed report is having little effect on trade, as the result came in near expectations for each category.
- Cash cattle prices are expected to have fallen again last week with trade leading up to Friday averaging $199.61, down over $3.00 from the prior week.
- Choice boxed beef prices fell another $1.86 to $310.77 Friday, extending the recent slide and further pressuring packer margins. Select cutout fell 62 cents to $302.56. Movement improved to 174 loads, indicating strong demand at lower prices.
- April live cattle continue to be supported by 100-day moving average support at $193.40. Bulls are looking to challenge resistance at $195.35, the 10-day moving average.
Hog futures are mixed at midmorning.
- Nearby lean hogs are trading modestly firmer while deferred contracts are struggling to garner much bullish momentum.
- The CME lean hog index is down 69 cents to $90.53 as of Feb. 20, bringing an end to the recent string of gains.
- Pork cutout surged $3.04 to $97.07 Friday, negating most of Thursday’s loss. Cutout was supported by across-the-board gains. Movement climbed to an impressive 357.2 loads.
- April lean hogs are consolidating near the 100-day moving average at $88.05. Support stands at $86.50 on selling pressure, while resistance comes in at $89.00.