Corn futures are mostly a penny higher at midsession.
· Corn futures are narrowly higher as traders continue to cover short positions.
· USDA rated 65% of the corn crop as “good” to “excellent” and 12% “poor” to “very poor.” On the weighted Pro Farmer Crop Condition Index (CCI; 0 to 500-point scale, with 500 representing perfect), the corn crop dropped 1.4 points to 366.8.
· Another week to 10 days of very warm temps and limited rain is expected in parts of southwestern Russia and northern and central Ukraine, according to World Weather Inc. Late-season crop moisture stress has harmed some of the region’s grain and oilseed crops just as it did earlier this year to winter wheat.
· Southern Brazil will see returning rain later this week and next week, improving early corn planting and establishment.
· A push by India to make more corn-based ethanol has turned Asia’s top exporter into a net importer for the first time in decades, squeezing local poultry producers and scrambling global supply chains.
· December corn have pushed to the highest level since late July with next resistance at $4.13 1/4, while initial support lies at $4.06.
Soybeans are trading mostly 4 cents higher, while soymeal futures are around $2.00 to 2.50 higher. Soyoil is modestly firmer.
· Soybeans have rebounded from losses overnight amid corrective buying.
· The soybean crop was rated 65% “good” to “excellent” and 10% “poor” to “very poor.” On our CCI, the soybean crop slipped 1.2 points to 361.8.
· Delayed seasonal rainfall in Brazil continues to stimulate some interest in soybean trade, with not much rain expected in center-west Brazil through mid-September. World Weather Inc. expects below normal late September rainfall, but improved October rain.
· Indonesia is planning to reduce its palm oil export levy to enhance competitiveness amid growing pressure from large global supplies of soybean and sunflower oils, which have become more price competitive.
· November soybeans are trading within Tuesday’s range, with the 40-day moving average of $10.15 3/4 serving as resistance, while support lies at $10.00, which is backed by $9.96 1/2.
Wheat futures are mostly 6 to 8 cents higher at midmorning.
· SRW wheat futures are edging higher for the sixth straight session, with support from a diving U.S. dollar.
· USDA reported spring wheat was 70% harvested as of Sunday. Harvest stood at 61% in top producer North Dakota, one point behind average.
· USDA reported 2% of the winter wheat crop was seeded as of Sunday, equal to the five-year average.
· Southern Australia will see frequent precipitation improving topsoil moisture for winter wheat, while Queensland and far northern New South Wales will remain too dry and warm for reproducing crops at least 10 more days, notes World Weather.
· Overnight, Taiwan purchased 101,700 MT of U.S. milling wheat. South Korea purchased 65,000 MT of optional origin feed wheat, excluding Russia, Argentina, Pakistan, Denmark and China. Japan tendered to buy 65,000 MT of feed wheat and 25,000 MT of feed barley. Thailand tendered to buy 120,000 MT of optional origin feed wheat.
· December SRW wheat futures pushed above Tuesday’s high of $5.71 3/4, while initial support lies at the 40-day moving average of $5.57 1/2.
Live cattle are mildly firmer, while feeders are posting moderate losses at midmorning.
· Live cattle futures are choppy after two days of gains.
· Cash cattle prices fell for the fifth consecutive week last week, dropping $1.73 to $183.81. Cash sources expect generally steady prices this week.
· Wholesale beef prices rose on Tuesday, with Choice rising $1.33 to $310.67 and Select surging $4.29 to $300.11, narrowing the Choice/Select spread to $10.56. Movement totaled 105 loads.
· October live cattle are trading within Tuesday’s range as the 200-day moving average at $180.50 provides resistance, while the 20-day moving average of $178.57 serves as initial support.
Hog futures are mostly weaker at midsession.
· October hog futures are trading around unchanged after marking a three-month high in early trade.
· The CME lean hog index continues to decline seasonally and is down 32 cents to $86.15.
· The pork cutout value rose $1.59 to $98.82 amid gains in all cuts. Movement totaled 337.4 loads for the day.
· October lean hogs have notched the highest intraday level since June 3, with resistance standing at $83.43, while initial support lies at Tuesday’s close of $82.525.