CORN
- Dec up 13 @ 5.40
- Movement of grain in the Gulf remains a challenge
- Central Brazil received some rains over the weekend, but Argentina remains mostly dry
- Argentina’s corn planting is about 9% done
- Rains are expected for the southern plains soon
- Corn continues to hold above support levels despite harvest pressure
- January corn on China’s Dalian exchange is around the equivalent of 9.74 per bushel
SOYBEANS
- Nov up 11 @ 12.96
- Concern around China temporarily closing soybean crushing plants continues – unknown how long they will be shut down
- Also concern in China over a shortage of coal and natural gas, leading to rolling blackouts – possibly slowing their economy
- Central Brazil received some rains over the weekend and more are expected
- Early yield reports are lower than expected (though this is anecdotal)
WHEAT
- Dec wheat up 2 @ 7.26, Dec KC up 4 @ 7.24, Dec MNPLS up 6 @ 9.22
- Southwest plains have rains forecasted for this week – should help early winter wheat conditions
- In the eastern Midwest, there is good soil moisture, but a drier forecast this week should aid in SRW wheat planting progress
- USDA’s Small Grains Summary will be released on Thursday, with updated wheat production numbers
- Rumors that China bought Australian and French wheat within the past week
CATTLE
- Oct LC down 0.275 @ 122.650 & Oct FC down 2.725 @ 154.625
- Cattle on Feed report showed on-feed numbers higher than estimated, and feeder cattle placements were also above estimates
- With a bearish report and lower boxed beef, packers will likely not be aggressive buyers this week
- Cattle slaughter projected at 120K
- Choice cuts down 2.28 and select down 0.46
- CME Feeder Cattle Index for 9/27: down 0.51 @ 153.98
HOGS
- Oct hogs up 1.875 @ 89.150 & Oct pork cutout up 1.800 @ 106.000
- Hogs & Pigs report was bullish – total hog numbers / kept for marketing both below a year ago
- The bullish report should generate buying interest
- National Direct Afternoon report gained $0.40
- Hog slaughter projected at 475K
- CME Lean Hog Index for 9/27: down 0.42 @ 91.47
Author
Brandon Doherty