CORN
- July Corn up 3 @ 6.86 & Dec corn up 15 @ 6.06
- Following hot & dry forecast for most of corn belt – corn gapped higher
- Expectation that the 76% good/excellent rating will drop today
- Moderate drought conditions are affecting IA, SD, & MI
- Eastern corn belt should fare better than western/central belt
- Some rains for Brazil but still entirely too dry
- Export inspections 1.413M mt
- O/I: Lost13,716 positions in July futures
SOYBEANS
- July up 6 @ 15.89 & Nov up 21 @ 14.56
- Same as in corn – soybeans gapped higher on weather concerns
- Yield loss is a major concern with balance sheets being so tight
- Soybean oil made new contract highs in overnight
- Drought expanding and worsening in northern plains
- China’s soybeans price still over 18.00 – no chance imports will slow
- Today first condition report will be released for soybeans
- Export inspections 237K mt
- O/I: Lost 2,540 positions in July futures
WHEAT
- July wheat up 1 @ 6.89, July KC up 2 @ 6.38, July MNPLS down 8 8.04
- Spring wheat continues to bake with little rain on the horizon
- 100 degree+ readings from Dakota s this past weekend – not seen since 2013
- Winter wheat harvest should advance rapidly with no rain to slow it down
- Ag consult group pegs Russian wheat crop at 80 mmt
- Export inspections 418K mt
- O/I: Lost 4,298 positions in July wheat & lost 3,106 positions in KC July wheat
CATTLE
- June LC down .30 @ 116.52 & August FC down .72 @ 149.20
- Last week’s JBS hack may result in aggressive buying this week
- Higher grain may increase the desire of feedlots to move cattle early
- Cattle slaughter projected at 119K
- Feeder Cattle cash index for June 2: up .15 @ 136.65
- Open interest lost 3454 for June futures & gained 146 for Aug FC
HOGS
- June hogs up .15 @ 119.65 & June Pork Cutout up .85 @ 133.50
- Strong slaughter numbers with packers making up for disruption of last week
- Domestic demand also strong – exports demand is strong
- Hog slaughter projected at 481K
- Cash lean index for June 2: up .30 @ 114.05
- O/I: Lost 1,908 for June hogs & June pork cutout lost 54 positions
Author
Amberlee Bratcher