Corn futures are mostly a nickel higher at midmorning.
· Corn futures are posting corrective strength for the third straight session, with outside markets lending support.
· U.S. central and eastern Midwest will see periodic rainfall and experience mild temps during the balance of this week, with showers expected to continue into the weekend and next week as warming occurs for a little while, notes World Weather Inc.
· Ethanol production averaged 1.095 million barrels per day (bpd) during the week ended July 19, down 11,000 bpd (1.0%) from the previous week but 0.1% above last year. Ethanol stocks rose 563,000 barrels to 23.723 million barrels.
· December corn futures are testing resistance at Tuesday’s high of $4.22 1/2. Additional resistance stands at $4.27 3/4. Initial support lies at the 20-day moving average of $4.15 3/4 and is backed by the 10-day moving average around $4.12.
Soybeans are mostly a penny to 3 cents higher. Soymeal futures are mostly $4.00 to $6.00 higher. Soyoil is mostly 40 to 55 points lower.
· Soybeans have rebounded from earlier lows as increasing gains in soymeal and corn provides support.
· Indonesia is planning for widespread use of the palm-oil based B40 biodiesel in 2025, replacing the current B35 blend, the energy ministry said. The ministry said it had used B40 biodiesel, mixed with 40% palm oil, on a train for the first time earlier this week.
· Brazil’s soymeal exports are estimated to reach 2.4 MMT in July, which would notch a monthly record high if the volume is confirmed by the end of the month, according to data from grains exporter association Anec.
· November soybeans continue to face resistance at the 20-day moving average of $10.79 1/2, while support lies at $10.63 3/4 and is backed by the 10-day moving average of $10.55 1/4.
Winter wheat futures are mostly 6 to 9 cents higher, with SRW leading gains. HRS futures are 2 to 4 cents higher.
· Wheat futures are firmer, with strength stemming from a weaker U.S. dollar, though they continue to trade in a sideways, consolidative pattern.
· Scouts on the first day of the Wheat Quality Council’s annual HRS tour found record yield potential in southern and east-central North Dakota. Samples collected averaged 52.5 bu. per acre, up from 48.1 bu. on similar routes last year and the five-year average (excluding 2020 because the tour was canceled due to Covid) of 42.2 bu. per acre.
· The U.S. Plains and portions of Canada’s Prairies will be hot and dry over the next few days. Today and Thursday will be the hottest days, with extreme highs from western South Dakota and Montana to southwestern Saskatchewan.
· December SRW wheat futures are trading above the 10-day moving average of $5.69 1/4, while the 20-day moving average of $5.83 3/4 continues to serve as resistance. Support lies at $5.58 3/4.
Live cattle are posting slight to moderate losses while feeders are sharply lower.
· August live cattle are pivoting around unchanged in narrow trade as technical resistance and wholesale weakness limit buyer interest.
· Wholesale beef prices dropped 23 for Choice to $313.21 and $1.67 for Select to $296.66 on Tuesday, extending their seasonal pullback, though movement remained strong at 165 loads.
· Colorado began requiring dairies to test milk supplies for the H5N1 virus every week, the state’s lead veterinarian told Reuters. The state’s new mandate aims to identify additional farms that could be infected and spread the disease to other dairies or poultry flocks.
· August live cattle reached the highest intraday level since July 8, with resistance at $187.33, while initial support lies at $185.57.
Hog futures are slightly firmer at midsession.
· August hog futures are trading higher for the fourth straight session amid persisting cash strength and firm technical support.
· The CME lean hog index is up 28 cents to $90.80 as of July 22, marking the seventh straight daily gain – the longest string of gains since early April.
· The pork cutout value dropped $1.02 on Wednesday to $103.50, amid declines in all cuts aside from primal ribs and bellies. Movement totaled 313.0 loads.
· August lean hogs have pushed above the previous session high of $94.075, while support lies at $92.875.