Corn futures are chopping around unchanged at midmorning.
· Corn futures are directionless amid conflicting spillover from soybeans and wheat.
· A drier bias will continue across the Midwest for the next 10 days, according to World Weather Inc. Rains will also be limited in the Plains, though scattered showers are possible in central and northern areas of the region next week. A strong disturbance in the western Gulf of Mexico is becoming better organized and should reach hurricane intensity prior to reaching the Louisiana coast late Wednesday. That could bring heavy rains into the Delta and Southeast.
· USDA reported corn export inspections of 836,413 MT (32.9 million bu.) for the week ended Sept. 6, down 129,931 MT from the previous week but within the pre-report range of expectations from 600,000 MT to 1.25 MMT.
· The 10-day moving average of $4.02 1/4 is initial support for December corn futures, while initial resistance stands at $4.09 1/4.
Soybeans are mostly 13 to 14 cents higher, while soymeal futures are more than $3.00 higher. Soyoil is around 40 points higher.
· Soybeans are higher on support from corrective buying and export demand news.
· USDA reported daily soybean sales of 132,000 MT to China for 2024-25.
· The Paraguay River fell to a record low in Paraguay’s capital Asuncion, with water levels depleted by a severe drought upriver in Brazil. The Parana River in Argentina is also low around the grain export hub at Rosario.
· USDA reported soybean export inspections of 354,166 (13.0 million bu.), down 148,278 MT from the previous week but within the pre-report range of expectations from 350,000 to 650,000 MT.
· November soybeans pushed above the 10-day moving average of $10.13. Initial support remains at $10.00 and is backed by $9.95 1/4. Meanwhile, resistance stands at $10.23.
Winter wheat futures are a penny to 3 cents lower. HRS wheat is 7 to 8 cents lower.
· Wheat futures are lower despite falling Canadian wheat stocks and lowered projections for the Russian crop.
· Canadian wheat stocks fell 18.5% from year-ago to 4.6 MMT as of July 31, according to Statistics Canada.
· IKAR agricultural consultancy cut its forecast for Russia’s wheat crop to 82.2 MMT from 83.8 MMT. The firm now expects Russia to export 44 MMT of wheat in 2024-25, down 500,000 MT from its prior outlook.
· Ukraine’s government and exporters agreed earlier this month to limit wheat exports to 16.2 MMT in 2024-25, though the deal did not specify what kind of wheat could be exported. Brokers, millers, traders and ministry officials expect the share of milling wheat to be between 30% and 45%, below the historical norm.
· Analyst APK-Inform increased its forecast for Ukraine’s 2024-25 wheat exports to 13.8 MMT from 13.4 MMT previously.
· USDA reported wheat export inspections of 586,687 (21.6 million bu.), down 16,003 MT from the previous week and near the low-end of the pre-report range of 300,000 to 650,000 MT.
· December SRW wheat is hovering mostly above initial support at $5.61 3/4, which is backed by the 40-,10- and 20-day moving averages of $5.56 1/2, $5.55 1/2 and $5.52. Initial resistance stands at $5.70 3/4.
Live cattle and feeders are posting moderate losses at midmorning.
· Live cattle futures tried to work higher on corrective buying early in the session, but have faded.
· Cash cattle prices dropped for the sixth consecutive time last week, which fueled a late-week selloff in cattle futures.
· Wholesale beef values eroded on Friday, with Choice falling $2.10 to $309.41, while Select fell 66 cents to $296.12. Movement totaled 135 loads.
· October live cattle are testing support at $174.08, which is backed by the Aug. 21 of low $173.725, while initial resistance stands at $176.03.
Hog futures are modestly lower at midsession.
· October hog futures are weaker amid seasonal weakness in the cash index.
· The CME lean hog index is down 19 cents to $86.24 as of Sept. 5, snapping a two-day uptick.
· The pork cutout value rose $1.23 on Friday to $96.10 despite losses in all cuts aside from primal loins and hams. Movement totaled 285.7 loads.
· October lean hogs are finding support at the 20- and 40-day moving averages of $78.82 and $77.03, while initial resistance stands at $80.08.