By: NATHAN STUEDLE
GRAINS:
December corn closed up 2 1/4 cents and March corn was up 1 1/2 cents. November soybeans closed up 7 1/2 cents and January soybeans were up 5 1/4 cents. December KC wheat closed up 1 1/4 cents, December Chicago wheat was up 1/2 cents, December Minneapolis wheat was up 3 1/2 cents.
It was the soybean show for row-crop futures Wednesday as November futures raced for its fourth higher session in the past six; meanwhile corn and wheat markets initially struggled to get off the ground but eventually joined with modest gains of their own amid a general bullishness across commodities at midweek. Crude oil futures put in a fourth straight session higher, with higher diesel prices also providing positive influence on the soybean complex. Meanwhile, the hot macroeconomic topic this week has been gold futures' meteoric rise through 2025 but especially the last few months to over $4,000 per troy ounce, fueled recently by the uncertainty due to the ongoing U.S. government shutdown. For Wednesday, the U.S. Dollar Index also rose to 2-month highs, likely a source of pressure to the wheat market.
LIVESTOCK:
The live cattle complex continued to trade higher as the market regained some technical support and interest from traders and continues to highlight the fact that boxed beef prices have seen more support this week as well. The spot December contract is nearing resistance at $241.00, which could cause the market some angst, as although support has been a tick more bountiful this week, has it really been enough to surpass resistance? Time will tell. So far, there's been no trade in the fed cash cattle market, but asking prices remain firm in the South at $235 to $237 and are still unestablished in the North. Trade will likely be delayed for another day or so. Some of the support that the cattle complex has received early this week could also be stemming from the fact that yet another new case of New World screwworm was detected in Mexico, roughly 170 miles away from the U.S./Mexico border. And while it may seem counterintuitive for the market to trade higher upon that finding, because we could be battling NWS here domestically at any point in time, another detection does likely indicate that the border won't be reopened any time soon, which should keep feeder cattle prices elevated.
The feeder cattle complex was powering on, full steam ahead, as the market traded $2.00 to $3.00 higher into Wednesday's noon hour and reaching as much as $5.00 to $6.00 higher before the closing bell in the far deferreds. So far, traders haven't seemed anxious about surpassing the market's resistance at $364, as they're continuing to drive the contracts.
Meanwhile, the lean hog complex traded mixed as the market wishes consumer demand would shine through and lend some additional support to the marketplace. But with fundamental support being hard to come by, traders yearn to push the contracts higher but are doing so in a cautious manner.
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