Corn futures are near unchanged at midmorning.
· Corn futures are chopping around unchanged in narrow trade as outside market pressure competes with robust export demand.
· USDA reported daily sales of 100,000 MT of corn to unknown destinations for 2024-25, the sixth consecutive day with a sales announcement.
· Ethanol production averaged 1.081 million barrels per day (bpd) during the week ended Oct. 18, up 39,000 bpd (3.7%) from the previous week and 41,000 bpd (3.9%) above last year. Ethanol stocks declined 52,000 barrels to 22.223 million barrels.
· December corn futures are facing resistance at the 100-day moving average of $4.18, while support lies at the 40-day moving average of $4.12 1/4.
Soybeans are choppy with a slight upside bias, while soymeal futures are around 50 cents to $1.50 lower. Soyoil is modestly weaker.
· Soybeans are choppy, with outside market pressure limiting buyer interest.
· USDA reported daily soybean sales of 130,000 MT to China and 259,000 MT to unknown destinations for 2024-25.
· Regular rounds of showers and thunderstorms will occur through the next two weeks in central and most of northern Brazil, inducing improvements in soil moisture and conditions for planting and development of summer crops.
· November soybeans failed to find sustained buying above the 10-day moving average of $9.91 1/4, with additional resistance at 10.00. Support remains at $9.80.
Wheat futures are unchanged to 2 cents lower.
· Wheat futures continue to face technical challenges, along with pressure from dollar strength.
· World Weather Inc. reports dryness remains a concern of U.S. HRW wheat production areas, the U.S. Pacific Northwest in unirrigated areas, Western Australian and crop areas from eastern Ukraine into western Kazakhstan. Each of these areas have seen “some” rain recently, but not enough to ease long term dryness and some concern over production potential remains.
· Kazakhstan officials say the country plans to export 12 MMT of the roughly 26.5 MMT of grain and oilseed production in 2024-25. That would include 7 MMT to 7.5 MMT of wheat.
· December SRW futures are trading within Tuesday’s range, limited by the 40-day moving average of $5.80 1/2, while support lies at $5.68 1/4 and is backed by the previous session low of $5.65 3/4.
Live cattle are modestly higher while feeders are mildly weaker at midmorning.
· Live cattle futures are firmer, extending Tuesday’s gains to a near three-month high earlier in the session.
· Steadily improving cash fundamentals continue to support higher futures prices, though buyer interest is limited considering the extended increase in cash prices.
· Choice boxed beef prices firmed another $1.10 to $323.96 on Tuesday, while Select fell $1.41 to $294.80. Movement totaled 142 loads, including 87.5 loads of Choice beef.
· December live cattle reached the highest level since late July, with resistance standing at $189.34, while the 20-day moving average of $186.83 is initial support.
Hog futures are mostly firmer at midsession.
· December hog futures continue to climb contra-seasonally, with solid technical support propping up prices.
· The CME lean hog index is up 11 cents to $84.34 as of Oct. 21, marking the third straight daily gain.
· The pork cutout value slid 97 cents on Tuesday to $97.27. Movement totaled 309.0 loads for the day.
· December lean hogs have extended above the April high, with next resistance at the contract high of $80.65. Initial support lies at $78.43.