Corn futures are around a nickel higher at midmorning.
· Corn futures are higher on corrective buying, with persisting export demand lending support.
· USDA reported daily corn sales of 169,926 MT to Mexico, 130,000 MT to South Korea and 198,192 MT to unknown destinations — all forn 2024-25.
· USDA reported corn export inspections of 999,811 MT (39.4 million bu.) during the week ended Oct. 17, up 493,195 MT from the previous week and within the range of pre-report expectations from 500,000 MT to 1.1 MMT.
· AgRural reported Brazil’s corn planting reached 48% as of last Thursday, two points ahead of last year.
· Argentina’s ag ministry cut its estimate for corn planted area by 2.1% in 2024-25, a 15.3% decline from year-ago, due to a lack of rainfall.
· December corn futures are testing resistance at the 40- and 10-day moving averages, each trading around $4.11, with additional resistance standing at the 20-day moving average of $4.16 3/4. Initial support lies at $4.02 1/2.
Soybeans are mostly 5 to 9 cents higher, while soymeal futures are around $1.00 to $2.00 higher. Soyoil is 30 points higher.
· Soybeans are higher, though technical resistance continues to curb momentum.
· USDA reported 380,000 MT of soybean sales to unknown destinations for 2024-25.
· USDA reported soybean export inspections of 2.434 MMT (89.4 million bu.) during the week ended Oct. 17, up 526,066 MT from the previous week and near the upper end of pre-report expectations from 1.2 MMT to 2.85 MMT.
· Brazil weekend rainfall was greatest from Goias to southern Minas Gerais and northern Sao Paulo. World Weather says Brazil’s weather is expected to be “erratic” over the next 10 days, with the greatest rainfall in dry center-west and center-south areas, though amounts may be lighter than some computer forecast models suggest, especially in center-west areas.
· Brazil’s soybean planting advanced 10 percentage points to 18% as of last Thursday, according to AgRural, though that was still well behind 30% on that date last year and the slowest pace since 2020-21. Soybean planting in Paraná and Mato Grosso do Sul are both on the fastest planting pace since 2017-18, while Mato Grosso is running at the slowest rate since 2020-21.
· Of China’s 11.37 MMT of soybean imports in September, 8.45 MMT originated from Brazil, while 1.71 MMT came from the U.S., a 13-fold surge from last year. For the January-September period, soybean imports from Brazil rose 13% from the same period last year to 62.24 MMT, while arrivals from the U.S. fell 15% to 14.55 MMT
· November soybean futures are facing initial resistance at $9.87 1/4, which is backed by the 10-day moving average of $9.96 1/2. Initial support lies at $9.61.
Winter wheat futures are 5 to 6 cents higher, while HRS futures are 1 to 3 cents higher.
· Wheat futures are posting gains despite U.S. dollar strength amid global supply uncertainties.
· USDA reported wheat export inspections of 268,375 MT (9.9 million bu.) during the week ended Oct. 17, down 111,759 MT from the previous week and short of analysts’ pre-report range of 350,000 to 650,000 MT.
· Rain developed as expected in the Central and Southwestern Plains during the weekend, with the greatest amounts in southeastern Colorado and eastern New Mexico, but very little relief from drought occurred in the key wheat production areas of Kansas, Oklahoma or the Texas Panhandle. Additional rains are expected early this week in HRW areas, though World Weather Inc. says serious drought relief is not likely in the heart of HRW areas.
· December SRW futures are trading within Friday’s lower range, with resistance at the 100- and 20-day moving averages, each trading around $5.90. Meanwhile, Friday’s low of $5.70 1/4 serves as initial support.
Live cattle and feeders are lower at midmorning.
· Live cattle futures are mildly weaker despite firming cash and wholesale fundamentals.
· Wholesale beef prices firmed $1.39 for Choice and 68 cents for Select on Friday, while movement totaled 126 loads.
· The rally in wholesale beef has resulted in packer margins running solidly in the black despite the six-week string of gains in cash cattle prices.
· December live cattle are facing resistance at Friday’s high of $187.675, while the 20-day moving average $186.275 continues to serve as support.
Hog futures are choppy at midsession.
· December hog futures are pivoting around unchanged as buyer interest is being limited by last week’s high.
· The CME lean hog index is up 11 cents to $83.96 as of Oct. 17.
· The pork cutout firmed 18 cents on Friday to $96.59, driven by strong gains in primal bellies and ribs.
· December lean hogs have dipped below support at the 10-day moving average of $76.84, with additional support at the 20-day of $75.98. Initial resistance stands at $78.38.