Corn, soybeans, and wheat futures were under pressure throughout the overnight session, extending the weakness into this morning’s night session close. The lack of follow-through buying interest has kept a bearish tone in place, and the overnight shutdown of the U.S. government only adds to that pressure across all markets this morning.

The most immediate concern stemming from the shutdown is the disruption to the normal flow of news and government data. Several key agricultural and economic reports are now in limbo, including the weekly ethanol production data expected this morning and the August Census crush and grain grind reports scheduled for release later today. With these reports potentially delayed, the market is left without fresh confirmation of trends, heightening uncertainty and contributing to light volume.

Despite the broader risk-off tone, traders continue to digest the quarterly grain stocks data released yesterday. The market’s initial response was muted, but the core message is clear: U.S. corn stocks are down 13 percent from a year ago, while soybean stocks are 8 percent lower. That’s despite adding 3.5 million acres since the August WASDE numbers, and another 200 million bushels into our stocks. As both crops continue to shrink in size due to harvest results and lingering crop stress, some of the earlier storage concerns are beginning to ease. This, in turn, provides more support to interior-based bids, which have been firming across many regions. USDA has built up a cushion to have their yield decline as much as 9 BPA from their August initial yield and still have a record crop report over last year.

Wheat stocks were not friendly, coming in 6 percent higher than last year. While this adds a bit of weight to wheat futures, the focus now shifts quickly back to reports of any Black Sea wheat export shortfalls and demand flows for further direction. Domestic and export demand remain elevated compared to normal seasonal patterns, especially for corn.

With the government officially closed, all eyes are on Washington for any indication of how long the impasse may last. The shutdown duration will determine the extent of reporting delays and how long the market will need to operate without reliable public data.

Feeder cattle rebounded sharply yesterday, while live cattle also closed higher after taking out last week’s lows in the early morning session weakness. The cash feeder index for feeders was off yesterday $2.28 at $365.35 but is still premium to the board. The recovery in cattle futures yesterday morning and their strong close will help encourage feedlots to hold for steady money. Meanwhile, box beef had choice off $0.35 or yesterday, while select declined $1.64.

Daily volatility has now grown to $9 trading ranges in feeders. Yesterday’s strong close encourages a firm start this morning, but we’ve seen in the past that when feeder cattle open sharply higher, they can usually burst a little more, but then the bulk of the day is spent in retreat. Likewise, if we get a lower, to sharply lower opening, the market typically stabilizes in the first half-hour and rallies the rest of the session. Upside resistance for November feeder cattle is 362-363. December cattle are farther from their resistance at 238-239. With no on-the-books record of Pres. Trump having time to speak with Pres. Lulu of Brazil, and with so much world activity going on, the cattle trade is shrugging off the thoughts of Brazilian tariffs being reduced in the near term.