TFM Midday Update 8-11-2020

CORN

September up 0.0175 @ 3.1225, December up 0.0125 @ 3.2425, March up 0.0075 @ 3.355
G/EX ratings dropped 1% this week to 71%, still up 9% from the 10-year average
Rains this week could stabilize crop conditions
Possible storm damage done yesterday, particularly in Iowa
December futures traded as high as 3.275 this morning
Prices traded above the 10-day moving average resistance level for the first time since July 27 but have fallen back below
Funds bought 9,000 contracts yesterday

August up 0.03 @ 8.795, September up 0.0275 @ 8.7275, November up 0.0175 @ 8.75
G/EX increased 1% this week to 74%, up 13% from the 10-year average
China has bought beans from the U.S. five days in a row and there is talk that they will continue to cancel Brazilian purchases
Soybean meal futures made bullish key reversals yesterday after posting new contract lows
November futures recovered back above the 100-day moving average level after closing below on Friday
November beans tested the 100-day moving average support level this morning and are now testing yesterday’s highs
Funds bought 8,000 contracts yesterday

December CHI up 0.0575 @ 5.0575, December KC up 0.0475 @ 4.3075, December MPLS up 0.0375 @ 5.1075
Spring wheat harvest is 15% complete, up 9% from last year but down 9% from the 10-year average
Winter wheat harvest is 90% complete, up 3% vs last year and down 2% from the 10-year average
Egypt is tendering for wheat today
Sharp rally in Chinese feed grain prices
CHI, KC, and MPLS futures are making solid bounces today
Stochastics are oversold though may be curling up toward a bullish crossover
Funds sold 4,000 contracts of CHI wheat yesterday

August lives up 0.37 @ 103.97, October lives up 0.70 @ 107.85, December lives up 0.25 @ 111.22
August feeders up 0.05 @ 143.62, September up 0.10 @ 145.50
Beef and cash values are trending higher
5-area average jumped 2.68 last week
Beef production last week was lower than the previous week but higher than the same week last year
October lives closed back above the 10 and 200-day moving average resistance levels yesterday
September feeders have fallen back below the 10-day moving average support level

August up 0.30 @ 53.42, October down 0.90 @ 52.92, December down 0.57 @ 54.12
Negative close in pork values yesterday after sharp bounce at mid-session was disappointing
Huge jump in ham values looks like export activity has picked up, though recent sales data has not reflected this
October still trading at a premium to cash vs a normal season discount of nearly 13.00
October made the first close yesterday above the 100-day moving average resistance level since January
Prices are testing the 100-day moving average level today as support

Bryan Doherty