Note: Due to Monday’s holiday, export sales data for the week ended Aug. 29 will be pushed back to Friday morning.
Corn futures are mostly 3 to 4 cents lower at midsession.
· Corn futures are pulling back after four straight days of gains.
· Low water conditions have led to several barges running aground along a key stretch of the lower Mississippi River, the U.S. Coast Guard told Reuters. The Coast Guard said in an email it has received reports and responded to several groundings over the last week along the Greenville-Vicksburg sections of the lower Mississippi River.
· Ethanol production averaged 1.061 million barrels per day (bpd) during the week ended Aug. 30, down 10,000 bpd (0.9%) from the previous week but up 49,000 bpd (4.8%) from last year. Based on the weekly data, ethanol production averaged 1.074 bpd during August, up 4.1% from last year. Ethanol stocks declined 218,000 barrels to 23.354 million barrels.
· December corn futures are testing support at $4.07 1/2. Resistance is at the previous session high of $4.13 1/2.
Soybeans are trading mostly 7 to 8 cents lower, while soymeal futures are $6.00 to $8.00 lower. Soyoil is 90 to 110 points higher.
· Soybeans are being pressured by overhead technicals and notable selling in soymeal futures, while soyoil is stronger on spreading.
· USDA reported daily soybean sales of 126,000 MT of soybeans to China and 189,700 MT to unknown destinations for 2024-25.
· Recent market talk had Chinese buyers purchasing multiple cargoes of U.S. soybeans via shipment from the Gulf and PNW. An improvement in Chinese crushing margins has increased demand for soybeans as the U.S. harvest begins. While Chinese crush margins remain negative, they have recovered to levels not seen in more than two months, according to Shanghai JC Intelligence Co.
· November soybeans continue to face resistance at the 40-day moving average of $10.14 1/2, while initial support lies at $10.07 1/4.
Winter wheat futures are around 9 to 13 cents lower, while HRS futures are mostly 6 cents lower.
· Wheat futures are weaker following a string of gains since the end of August.
· Farmer group AGPB estimates this year’s French wheat production at 25.98 MMT, down 9.1 MMT (25.9%) from last year. That’s in line with the estimate from France’s ag ministry and other private forecasts. The group estimates the yield at 6.2 MT per hectare, down 17% from last year.
· Ukrainian farmers could increase the winter wheat sowing area for the 2025 harvest to more than 5 million hectares, from 4.7 million hectares in 2024, to compensate for a decline in the winter rapeseed area, an industry source said on Thursday.
· December SRW wheat have found support at $5.68 1/2, while initial resistance stands at Wednesday’s close of $5.80 3/4.
Live cattle and feeders are sharply lower at midmorning.
· Live cattle futures have extended losses amid technical-based selling.
· Choice boxed beef prices rose 93 cents on Wednesday to $31.60, while Select fell 72 cents to $299.39. Movement surged to 169 loads, with 98.6 loads of Choice. Continued retailer buying of beef suggests demand may not wane much after the unofficial end of the summer grilling season.
· The Chilean government approved a trade agreement ensuring market access for U.S. meat and cheese products, protecting terms like cheddar, gouda, prosciutto, and salami. This follows the exchange of letters between U.S. Trade Representative Katherine Tai and Chile’s Undersecretary of International Economic Relations Claudia Sanhueza on June 21, 2024, which initially established the mutual understanding.
· October live cattle dropped through support at the 10-day moving average of $177.90, triggering sell stops.
Hog futures are posting moderate losses at midsession.
· October hog futures are lower amid technical pressure.
· The CME lean hog index is up 12 cents to $86.27 as of Sept. 3, halting an extended string of seasonal prices pressure. October lean hog futures remain discounted by around $4.60, which suggests traders sense any uptick in the cash market will be brief before seasonal pressure resumes.
· The pork cutout value dropped $3.53 to $95.29 amid drops in all cuts except primal ribs. Movement totaled 345.5 loads.
· October lean hogs are finding support at $80.18. Resistance starts at today’s high of $81.775.