CORN: Corn futures rallied 4 cents overnight on ideas that prices may have found a near term bottom, as lack of farmer selling and speculative interest begins to buy value. Crude is also making a steady recovering while providing some outside market support. Corn support is also noted from optimism sparked by comments from President Trump that “U.S. farmers are going to be selling a lot of corn, a lot more than anyone thought possible” to the Chinese. Weekly export sales are pushed back to tomorrow due to the markets being closed on Monday. USDA is scheduled to releases 2019-20 acreage estimates at its Ag Outlook conference later today or tomorrow where 19 analysts are expected to provide an average guess of 91.7 mil corn acres versus 89.1 mil last year.
SOYBEANS: Soybean futures were up 2-1/2 cents overnight to 9.05 in the Mar contract after falling to a new low for the move to 8.93-1/4 on Wednesday. USDA is expected to come out with acreage estimates averaging 86.1 mil acres, down 3 million from 89.1 mil last year. Brazil’s bean production is expected to show a drop to 114.6 mil tons from last year’s record 119.3 mil.
WHEAT: Wheat futures rallied 6 to 7 cents overnight after making new contract lows in the winter wheat contracts on Wednesday, leaving the market oversold and viewed as a buy by the trade. World wheat values have fallen over the last 10 days and U.S. Wheat exports are running 10% behind a year ago (10% last week) with the USDA currently forecasting an 11% increase on the year. The average acreage estimate ahead of the Ag Conference is 47.2 mil acres compared to 47.8 mil last year.
CATTLE: Cattle futures are called mixed to higher, as winter weather continues to provide underlying support. Technicals look strong with yesterday’s firm finish. 55 head of cattle were sold on the online auction at $125/cwt yesterday. Most cattle are priced $128-130/cwt this week.
HOGS: Hog futures are called steady to lower on follow through as the market looks technically negative. April leads the weakness in the complex and has given up its premium to cash after this week’s plummet that included at least 3.000 losses the past two sessions. Summer months have some hope of clawing back some of their losses as the weekend approaches.