Corn futures are 6 to 7 cents lower at midmorning.
· Corn futures are facing spillover pressure from extended selling in wheat and soybeans.
· There will be one more day of heat before cooler temps move into the Corn Belt for the remainder of the week, along with scattered rains. The Southern Plains, Delta and Southeast will likely see scattered rains as well, notes World Weather Inc.
· USDA reported corn export inspections of 1.08 MMT (42.5 million bu.) during the week ended July 11, up 55,006 MT from the previous week and near the top-end of the pre-report range of expectations from 800,000 MT to 1.1 MMT.
· Overnight, Taiwan tendered to buy 65,000 MT of corn to be sourced from the U.S., Brazil, Argentina or South Africa.
· December corn is trading within Friday’s range, with serving at $4.19 3/4, while initial support lies at $4.06 1/4.
Soybeans are mostly 19 to 22 cents lower. Soymeal futures are $3.00-plus lower. Soyoil is around 45 points lower.
· November soybeans have extended to a fresh near-term low amid followthrough selling from last week.
· Analysts expect the National Oilseed Processors Association (NOPA) to report its members crushed 177.9 million bu. of soybeans during June. That would be down 3.1% from May but up 7.8% from year-ago and a record for the month. Soyoil stocks are expected to total 1.724 billion lbs., which would be down 3.2% from May and 1.2% from year-ago.
· USDA reported soybean export inspections of 168,593 MT (6.2 million bu.), down 125,616 MT from the previous week and below the pre-report range of expectations from 200,000 to 400,000 MT.
· November soybeans are testing initial support at $10.44 1/2, while initial resistance stands at $10.66.
Wheat futures are 10 to 16 cents lower at midsession, with SRW leading losses.
· Wheat futures are extending Friday’s losses to a new contract low.
· USDA reported wheat export inspections of 533,828 MT (19.6 million bu.) during the week ended July 11, up 190,469 MT from the previous week and above the pre-report range of expectations from 275,000 to 500,000 MT.
· Drought and dryness will continue from Ukraine to western Kazakhstan and northward into the middle Volga River Basin and southern Ural Mountains region for the next 10 days, according to World Weather.
· December SRW wheat futures have forged a new contract low. Initial resistance stands at $5.81 1/2.
Live cattle are mildly lower, while feeders are modestly higher at midmorning
· August live cattle futures are trading sideways in consolidative trade.
· This week’s Cattle on Feed Report is likely to push cash cattle trade late into the week.
· Wholesale beef was mixed on Friday, with Choice cutout firming 41 cents to $322.06, while Select fell $1.07 to $302.31.
· August live cattle are hovering above the 40-day moving average of $181.63, while initial resistance stands at the 10- and 20-day moving averages of $183.74 and $183.95.
Hog futures are slightly higher in most contracts at midmorning.
· August hog futures are mildly favoring the upside, though traders are seemingly pausing in the wake of strong gains in the previous two sessions.
· The CME lean hog index is down 27 cents to $88.38 as of July 11, extending the seasonal pullback to the lowest level since April 9.
· The pork cutout value firmed $2.61 to $98.84 on Friday, amid gains in all cuts except ribs.
· China’s pork production fell 3% from year-ago in the second quarter to 13.98 MMT, following a 0.4% decline in the first quarter. That marked the first consecutive quarterly decline on an annual basis in output since 2020.
· August lean hogs are facing resistance at $89.46, which is backed by additional resistance at at $90.47. Meanwhile, initial support lies at the 10-day moving average of $88.35.