Corn: Dec corn down 1 3/4 overnight after failing to confirm Wednesday's reversal, with open interest down 9,943 as fund long liquidation continues. Weekly export sales were 1.53 million tonnes, but cumulative sales sit at 26.7% of USDA's forecast vs a 36.1% average. Resistance at 471 then 479, support at this week's low just under 454.
Soybeans: Weekly export sales hit 2.84 million tonnes, about three quarters to China, and China/Unknown has bought 1.32 million tonnes this week. Open interest fell 25,700 with stochastics on the cusp of turning higher from deep oversold. Jan beans resistance at 1272 then 1284, and Sunday's Brazil runoff could lift the real and support beans.
Wheat: Dec Chicago wheat down 1/2 overnight with the RSI under 20, extremely oversold, but no technical bottom yet. Southwest Plains rains and big Argentina and Australia harvests weigh, and Turkey's crop is forecast up 38% to 24.8 million tonnes. Value in the 610 to 620 range: resistance 649, key support 617.
Livestock: Dec live cattle bounced off 200 day support to close at 231.12 ahead of today's Cattle on Feed, where placements are expected at 91.7%, the lowest September on record. Cutout fell $3.12 to $369.47. Dec hogs closed at 65.52 after new contract lows, with the lean hog index at 72.82, lowest since Feb 2, and long term support near 64.00.
Energy: Brazil's biodiesel blend is expected to rise from 15% to 16% in March, and Brazil's 2027 crush forecast was raised to a record with higher meal and bean oil output, a demand story for bean oil. Russia hit several Ukraine energy facilities overnight, and attacks are likely to continue until trilateral peace talks are announced, which keeps Black Sea risk in the wheat market.
Reports Coming Out Today
Cattle on Feed 2:00 PM
