Corn futures are mostly a penny to 2 cents lower at midmorning.
· Corn futures facing light corrective selling following four straight days of gains.
· USDA reported daily corn sales of 120,000 MT to unknown destinations for 2024-25.
· Corn export sales during the week ended Oct. 31 totaled 2.77 MMT, up 18% from the previous week and four-week average. Net sales exceeded analysts’ range of expectations from 1.7 MMT to 2.5 MMT. Exports totaled 917,600 MT for the week.
· Rains throughout the Midwest are expected to improve water levels on the Mississippi River. Full drafted barges can be loaded again once the river at Memphis reaches above -2.5 feet.
· December corn futures are facing resistance at $4.30 1/2, while support lies at the 10-, 40-, 20- and 100-day moving averages in the $4.15 to $4.12 range.
Soybeans are mostly a nickel higher, while soymeal futures are around $1.50 to $2.50 lower. Soyoil is more than 100 points higher.
· Soybeans are trading near midrange, with soyoil strength providing support and meal limiting buyer interest.
· Soybean export sales totaled 2.04 MMT during the week ended Oct. 31, down 10% from the previous week but up 10% from the four-week average. Net sales were near the upper end of the pre-report range of expectations from 1.2 MMT to 2.2 MMT. Exports during the week totaled 2.4 MMT.
· China imported 8.09 MMT of soybeans in October, down 3.28 MMT (28.8%) from September but up 2.93 MMT (56.8%) from last year. Through the first 10 months of this year, China imported 89.94 MMT of soybeans, up 11.2% from the same period last year and just 10.37 MMT shy of the record in 2020. Chinese buyers are expected to rush to import soybeans before Donald Trump takes office in January.
· January soybean futures reached the highest level since mid-October at $10.18 3/4 before pulling back. That stands as near-term resistance. Support lies at $10.00, and is backed by the 20- and 10-day moving averages, currently trading at $9.98 1/2 and $9.95 1/2.
Wheat futures are mostly 4 to 7 cents lower at midmorning.
· Wheat futures are lower despite heavy selling in the U.S. dollar index.
· Wheat export sales totaled 374,700 MT during the week ended Oct. 31, down 9% from the previous week and 20% from the four-week average. Exports were a marketing-year low of 236,900 MT.
· Significant widespread precip is expected in HRW wheat areas today through Friday from a strong storm system. This will raise soil moisture in areas that missed out from the previous system, though some flooding is likely from central Oklahoma into central Kansas, which could lead to re-planting of wheat in some low-lying areas.
· December SRW futures are trading below the 10-, 100- and 20-day moving averages, layered from $5.75 1/2 to $5.69. Resistance is at the 40-day moving average of $5.81 1/2.
Live cattle and feeders are firmer at midsession.
· Live cattle futures are posting modest gains as the market rebounds from last week’s losses.
· Wholesale beef prices dropped on Wednesday, with Choice falling $1.62 to $315.59, while Select declined $2.04 to $283.20, widening the Choice/Select spread to $32.39. Movement totaled 131 loads for the day.
· USDA reported net beef sales of 8,000 MT, a marketing-year low, for 2024. Net sales fell 43% from the previous week and 45% from the four-week average.
· December live cattle are pivoting around the 40-day moving average of $185.61, while resistance stands at the 10- and 20-day moving averages, currently trading at $186.58 and $187.00. Initial support remains at $184.62.
Hog futures are under pressure at midmorning.
· December hog futures are being pressured by poor export sales.
· USDA reported pork sales reductions of 14,700 MT, a marketing-year low, for 2024.
· The CME lean hog index is up another 45 cents to $90.24 as of Nov. 5, the 14th straight daily gain.
· The pork cutout value rose 72 cents on Wednesday to $102.15, led by gains in primal bellies. Movement totaled 266.7 loads for the day.
· December lean hogs are trading within Wednesday’s range. Initial support is at $81.18 and is backed by the 20-day moving average, currently trading at $80.06, while the 10-day moving average of $82.31 stands as initial resistance.