Morning MarketWatch: Lack of news leans negative for the grains overnight.

Wednesday, October 28, 2015
***** Corn futures 2 cents ahead of the morning break; soybeans off 2 to 3; Chicago wheat down a nickel. ​*****

   # News is limited overnight, so favorable weather conditions prevail as the motivator for lower prices.  
   # Showers fell across a large swath of U.S. in the past 24 hours, with precipitation totals locally heavier in eastern Iowa and Northern Illinois.  Light rains were welcomed by wheat growers in the Plains and even parts of drought-stricken California got wet.    
   # The dry regions of Brazil enjoyed some light showers on Tuesday, with more rain expected through the end of this week.    
   # Grain exports out of Ukraine are running at a better pace than they were last year at this time.  The dollar has gained considerable strength against the Ukrainian hryvnia currency since 2014 and helps boost Ukraine’s competitiveness.  
   # Also due to relative currency terms, Brazilian corn exports in October will be nearly double what they were in this month last year.       
   # Soybean futures are trading quietly within yesterday’s ranges as the nearby contracts look to keep support from the 50-day moving average.  Just overhead is the 20-day.  
   # Crude oil futures are rebounding moderately overnight after posting lower closes for three straight sessions.  The weekly stocks report will be released mid-morning and could show five straight weeks of inventory builds.  
   # The Federal Reserve will wrap up its Open Market Committee today, with an announcement of its October interest rate targets at 1:00 p.m. central.  Bond markets price in only a 5 percent chance of an immediate Fed Funds rate hike.  

***** Cattle futures likely to find support at the open from cash market optimism; hogs look to open higher in a moderate rebound out of technically oversold conditions.  *****
   # Cattle futures may find some strength today after cash bids firmed up late on Tuesday.  Trades at $138 live were made in the South.  Short-run technicals still lean positive for cattle futures after the move up out of October 1 lows.            
   # Hogs are sinking under the weight of seasonal expectations and increased technical selling.  Cutout values are weakening and spell trouble for the cash market.