Corn futures are mostly a penny lower at midmorning.
· Corn futures have given up overnight strength as technical pressure weighs on prices.
· Hurricane Francine continues to gain strength in the Gulf of Mexico slightly east of the Texas/Mexico border. The system will move northeast and likely make landfall in the south-central Louisiana coast this evening. The system will then move up through the Delta later Wednesday through Thursday as it gradually weakens over land before dissipating on Friday.
· Ethanol production averaged 1.080 million barrels per day (bpd) during the week ended Sept. 6, up 19,000 bpd (1.8%) from the previous week and 41,000 bpd (3.9%) above last year. Ethanol stocks rose 360,000 barrels to 23.714 million barrels.
· December corn was turned back on the test of resistance at $4.06 3/4. Initial support lies at $4.00 3/4.
Soybeans are mostly 2 cents higher, while soymeal futures are $1.00 to $2.00 higher. Soyoil is 30 to 45 points lower.
· Soybeans are modestly higher, though well off their overnight highs.
· Rain in the U.S. through Friday might prove to be favorable for some late double-cropped soybeans, but most of it comes too late in the season to induce much change. Most of the Midwest will continue to dry out this week, with eastern portions of the region seeing faster crop maturation and harvesting into next week, according to World Weather Inc.
· Showers will continue to elude center-west Brazil until late this month, but that is not unusual and the impact on the market mentality should be low unless forecasters start to project a more prolonged dryness issue, but that is not expected by World Weather Inc.
· November soybeans are being limited by the 40-day moving averages at $10.10, while initial support lies at the 20-day moving average of $9.88 1/2.
Wheat futures are mostly 3 to 4 cents higher.
· Wheat futures are slightly firmer as lingering global supply concerns provide support.
· Planting moisture is limited in southern Russia and Ukraine where rain will be needed soon to ensure the crops get established favorably prior to winter dormancy. Planting moisture is also needed in the U.S. Plains, although there is plenty of time for that to evolve and some is expected next week, notes World Weather.
· Ukraine’s domestic and export wheat prices are likely to rise in the coming weeks due to much smaller wheat stocks, major agricultural producers’ group, the Ukrainian Agrarian Council (UAC) and analysts said.
· December SRW wheat futures are trading within the recent consolidation range, capped by resistance at $5.82 3/4. Initial support is at $5.72 1/4 and extends to Monday’s low at $5.60 1/2.
Live cattle are marking slight losses, while feeders are mildly to moderately lower.
· Live cattle and feeder futures are lower amid waning cash fundamentals.
· Last week’s average cash cattle price of $181.18 was $1.10 below year-ago, the first time the cash market traded below the corresponding week from the previous year since spring 2021.
· Wholesale beef prices slipped on Tuesday, with Choice falling 29 cents to $308.23, while Select dropped $1.48 to $297.01. Movement totaled 147 loads for the day.
· October live cattle are testing support at $175.68 while initial resistance stands at $176.59.
Hog futures are mixed at midsession.
· October hog futures are modestly firmer despite falling wholesale prices and persisting cash weakness.
· The CME lean hog index is down another 18 cents to $85.56 as of Sept. 9.
· The pork cutout fell 92 cents on Tuesday to $94.80 as losses in hams, picnics and bellies more than offset gains in the other cuts. Movement was solid at 434.32 loads for the day.
· October lean hogs are hovering between the 100- and 20-day moving averages, currently trading at $78.92 and $79.31, while initial support lies at $77.98.