Date: March 23, 2023

Market Overview

March corn ended the day slightly lower, down 1¼¢, settling at $4.27½ per bushel. Despite the minor decline, March soybeans showed a modest increase, closing up 1½¢ at $11.24 per bushel. On a positive note for wheat, March CBOT wheat experienced a rise of 9¢, concluding at $5.37¼ per bushel, while Kansas City and Minneapolis wheat also followed with increases of 8¢ and 2¢, respectively.

USDA Announcements

This morning, the USDA announced that unknown destinations are purchasing 230,560 metric tons of corn for the 2025/2026 marketing year. Despite these bullish inputs, market responses have been tepid. The Commstock Report highlighted persistent concerns regarding corn’s lack of responsiveness, particularly after bullish news regarding U.S. corn exports featured in the USDA’s monthly World Agricultural Supply and Demand Estimates (WASDE) report.

Livestock Market

In livestock markets, March feeder cattle concluded the day up $2.68, reaching $367.45 per hundredweight (cwt), while April live cattle saw an increase of $3.55, ending at $240.98 per cwt. Conversely, April lean hogs decreased by $1.65, closing at $93.85 per cwt.

Crude Oil and Economic Indicators

As of 3:16 p.m. CT, March crude oil prices have risen to $65.01 per barrel, marking an increase of $1.05 from previous levels. Additionally, the U.S. Dollar Index has moved up to 96.80, while both the S&P 500 Index and Dow Jones Industrial Average report gains of 13.90 points and 76.26 points, respectively.

Morning Update

Soybeans Down 6¼¢ as of 9:37 a.m. CT

As trading commenced, March corn was reported down 2½¢ at $4.26¼ per bushel, with March soybeans down 6¼¢ at $11.16¼ per bushel. Wheat prices showed slight gains, with March CBOT wheat up less than a penny at $5.29 per bushel, and Kansas City wheat also following suit.

Market Reactions

The muted reaction in the markets comes despite the USDA’s February WASDE report, which raised U.S. corn export estimates for 2025/2026 by 100 million bushels. Analyst John Zanker noted that this increase, while significant, failed to inspire the desired price reactions, which he describes as frustrating yet expected after a year of similar trends.

Conclusion

As the agricultural market continues to evolve, stakeholders are advised to keep a close eye on the dynamics affecting corn, soybeans, and wheat pricing. While some sectors are experiencing gains, the overall sentiment remains cautious amidst fluctuating market responses.