Corn futures are mostly 4 cents higher at midsession.
· Corn futures are posting gains for the third straight session amid corrective buying, despite negative outside markets.
· Crop consultant Dr. Michael Cordonnier cut his U.S. corn yield estimate by 1 bu. following extreme heat across the Corn Belt last week. He now estimates the corn yield at 182.5 bu. per acre with production at 15.09 billion bushels.
· Analysts expect USDA to report ethanol use totaled 462.8 million bu. in July, which would be up 4.6% from June and 1.7% above July 2023.
· USDA reported corn export inspections totaled 965,292 MT (38.0 million bu.) during the week ended Aug. 29, up 47,690 MT from the previous week and within the pre-report range of expectations from 700,000 MT to 1.15 MMT.
· December corn futures have moved above the 40-day moving average, currently trading at $4.03, for the first time since mid-June, with resistance now at $4.06 1/4. Initial support lies at $4.00, which is backed by the 10- and 20-day moving averages of $3.97 and $3.95 1/4.
Soybeans are trading mostly 4 to 5 cents higher, while soymeal futures are around $4.00 higher. Soyoil is around 80 to 90 points lower.
· Soybeans are slightly firmer as meal futures underpin the complex, with offsetting weakness stemming from soyoil.
· USDA reported daily soybean sales of 132,000 MT to China during 2024-25.
· Cordonnier lowered his U.S. soybean yield estimate by 0.5 bu. to 53 bu. per acre, with production at 4.57 billion bushels.
· Analysts expect USDA to report soybean crush totaled 191.7 million bu. for July, according to a Bloomberg survey. That would be a record for the month and up 4.4% from June and 3.7% above year-ago.
· USDA reported soybean export inspections 496,860 MT (18.3 million bu.), up 77,297 MT from the previous week and near the upper end of the pre-report range of 300,000 to 500,000 MT.
· Favorable late-season crop conditions are prevailing in the Midwest, with rain in the Delta easing stress on double-crop soybeans, according to World Weather Inc.
· November soybeans have reached the highest level in nearly a month. Resistance is at $10.08 1/2 and the 40-day moving average of $10.17 1/4. Initial support lies at $9.90 1/2 and is backed by the 20- and 10-day moving averages of $9.85 1/4 and $9.83.
Winter wheat futures are mostly 6 to 9 cents higher, while HRS is 2 to 3 cents higher.
· SRW wheat futures continue to edge higher despite U.S. dollar strength.
· Ukraine’s ag ministry reached an agreement with exporters and farmer groups to cap wheat exports at 16.2 MMT for 2024-25. Ukraine exported 18.3 MMT of wheat in 2023-24. Through the first two months of the 2024-25 marketing year, Ukraine exported 3.59 MMT of wheat, up 2.53 MMT (239%) from the same period last year. The ministry said wheat is the only ag commodity that will have an export limit for 2024-25.
· The Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) raised its 2024-25 Australian wheat production forecast by 2.7 MMT to 31.8 MMT as key production areas have received rains. At that level, wheat production would top year-ago and the 10-year average by around 20%.
· USDA reported wheat export inspections totaled 577,944 MT (21.2 million bu.) during the week ended Aug. 29, up 28,477 MT from the previous week and within the pre-report range of 400,000 to 600,000 MT.
· December SRW wheat futures have moved above the 10- and 20-day moving averages, with resistance now at $5.62 1/4. Initial support lies at $5.42 3/4.
Live cattle are modestly firmer at midmorning, while feeders are mixed.
· Live cattle futures are moderately firmer, though technical resistance is limiting the upside.
· Choice boxed beef values rose 68 cents to $309.34 on Friday, while Select fell 37 cents to $295.82. Movement totaled 98 loads for the day.
· With the passing of Labor Day, the summer “beef” holidays have ended. That will put a focus on retailer beef demand, as they gear up for pork features during October, which is national pork month.
· October live cattle are facing resistance at Friday’s high of $179.625, while support is at the 10-day moving average of $178.49 and backed by $177.69.
Hog futures are mixed at midsession.
· October hog futures are lower after the recent stretch of gains, though technical support should limit the downside.
· After actively narrowing the discount nearby lean hog futures hold to the cash hog index last week, buyer interest is pausing.
· The pork cutout value rose $1.34 on Friday to $97.23, led by gains in primal bellies and hams. Movement totaled 284.3 loads.
· October lean hogs are being supported by 10- and 100-day moving averages of $80.26 and $79.65, while initial resistance stands at the previous session high of $83.00.