TFM Midday Update 03-22-2022

CORN

May corn down 7 @ 7.49
Corn inspections were pegged at 57.7 mb with total inspections now at 1.078 bb
Crude oil was higher overnight but has turned lower at midday
About 6 mmt of Ukraine corn was going to go to China but now may not get shipped
Canadian Pacific rail shutdown could affect the shipment of potash into the US, but they stated that operations will soon resume

May soybeans up 33 @ 16.94
Soybean inspections were pegged at 20 mb with total inspections now at 1.570 bb
Private exporters reported 240,000 mt of soybeans for delivery to unknown during the 21/22 marketing year
It has been roughly two weeks since China has purchased US soybeans
The amount of soybean oil used for biofuel is at record levels
69% of Brazil soybeans have reportedly been harvested

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May wheat down 11 @ 11.08, May KC down 6 @ 11.07, May MNPLS up 7 @ 10.96
Wheat inspections were pegged at 12.1 mb with total inspections now at 608 mb
Egypt for the first time ever announced that they will look at India wheat for import to meet their needs
Ukraine and Russia seem to be entering a stalemate with neither side backing down – this increases concern that winter wheat harvest will be disrupted
Ukraine’s ban of exports (including wheat) is vital to their food security, so even if wheat is harvested there it likely won’t get shipped

Apr hogs down 0.750 @ 99.875 & Apr pork cutout down 0.800 @ 105.725
Support may still come from the anticipation of tightening supplies
Concern regarding demand still exists due to inflation
Hogs may have experienced technical buying yesterday as cash and cutouts were lower and unsupportive
National Direct Afternoon report declined 1.61
Hog slaughter projected at 478K
CME Lean Hog Index for 3/22: up 0.44 @ 101.80

Brandon Doherty