CORN

• Dec up 1-1/2 cents @ 3.90-1/4
• Brazilian crop agency Conad forecast record corn harvest for 2020-21
• Weekly exports net sales of 1.225MT – primary buyer Japan
• Surge into USDA report sets higher bar for the bulls
• Funds net buyers of 15K contracts – O/I – 7,900 contracts

SOYBEANS

• Nov up 3-3/4 @ 10.54-3/4
• Brazilian crop agency Conad forecast record soybean harvest for 2020-21
• Daily export sales 374K mt to China, 152K mt to Mexico, & 132K mt to unknown
• Weekly export net sales of 2.590MT – primary buyer China
• No sign of a peak yet, but extremely overbought headed into report
• Center west & center south Brazil will receive some rain in the next 14 days
• Funds net buyers of 6K contracts – O/I + 2,400 contracts

WHEAT

• Dec CHI down 11-1/4 @ 6.96 & Dec KC down 13-3/4 @ 5.30-3/4 & Dec MPLS down 8 @ 5.40-3/4 
• Weekly export net sales of 530.6K MT – up 5% from last week
• U.S. weather all still too dry to foster good planting conditions, but favorable for winter wheat harvest
• Russia’s average rainfall is lowest in over 30 years
• Funds net buyers 12K contracts of SRW – O/I +10,200 contracts SRW & +2,200 contracts HRW

CATTLE

• Oct LC down 0.15 @ 110.02 & Oct FC down 0.02 @ 138.47
• If beef does not rally, may be tough to hold premium
• Beef cutouts are expected to be lower with moderate box movement
• Cattle continued to be pressured by higher grains
• Cash Index for 10/6 on feeders is $142.71 – Few bids for LC @ $107 cwt

HOGS

• Oct up 0.20 @ 77.07
• November 9 CME launches pork cutout futures & options
• Hog futures up around the news of sharply higher export sales to China
• Total exports were 60,200 mt
• Strong demand will keep front month supported

Author

Amberlee Bratcher