CORN
- March up 1 @ 4.37 & Dec up 1 @ 4.19
- Managed money net 250,260 contracts long – O/I +13,800 contracts
- Export inspections @ 762.9K mt versus last week’s 886.9K mt
- Extended weather forecast looks to be warm/dry for S. Brazil & Argentina
- More travel bans & restrictions from Covid – impact fuel markets today
- Over-night trade hit 4.40 on positive news that a stimulus package was passed
- Rising corn prices put pressure on ethanol margins
SOYBEANS
- Jan up 16 @ 12.36 & Nov up 8 @ 10.89
- Managed money net 190,218 contract long – O/I +2,800 contracts
- Export inspections @ 2.532M m5 versus last week’s 2.368M mt
- Soybean meal prices at 4-year high
- Weather combined with Argentine strike continue to bolster prices
- Russian export tax on soybeans which typically all go to China could be promising for US
- 68% of Argentine soy planted & 56% of corn leave time for recovery from weather woes
WHEAT
- Mar up 2 @ 6.10, Mar KC up 3 @ 5.72, March MNPLS up 1 @ 5.77
- Managed money net 6,672 contracts long of SRW wheat – O/I +1,000 contracts
- Export inspections @ 391.2K mt versus last week’s 261K mt
- Wheat recovered from morning losses of higher USD & outside markets
- Argentina wheat harvest at 66% – still expected to lose 4 mmt from last yr’s production #
- Support continues as US Plains & S. Russia remain dry ahead of dormancy
CATTLE
- Feb LC up .02 @ 114.85 & Jan FC up .07 @ 140.52
- Cattle on feed numbers well on target with projections
- Cash cattle remains quiet – holiday keeping things calm
- New Covid concerns could bleed into cattle market – demand still very uncertain for ‘21
- Today’s slaughter est. at 120K head
- No cash price developed for LC & @ 138.48 (up 1.29) as of 12/17 for FC cash index
- O/I: -50 contracts for Feb LC & O/I: +780 contracts for Jan FC
HOGS
- February Hogs up .47 @ 66.27 & Feb Pork Cutout up .10 @ 76.00
- Likely a low volume trade week due to holiday
- Traders looking for price direction in tomorrows Hogs & Pig report – 2:00 p.m. CT
- Hog slaughter estimated at 483K
- Cash lean index @ 6372 (down .67) for 12/17
- O/I: -280 positions for hogs & pork cutout futures +22 positions
Author
Amberlee Bratcher