CORN
- Dec up 5-1/4 cents @ 3.92-1/4
- 23.3 jump in 41 days in USDA report sets high bar for the bulls
- There is talk that China has been an active buyer of US corn for April delivery
- Trade expects USDA report to lower corn yield, production, & harvested acres
- Funds net sellers of 5K contracts – O/I – 10,700 contracts
SOYBEANS
- November up 14-1/4 @ 10.64
- Today’s report needs to support top-heavy market
- Rumors that delays in Brazil soybeans plantings could drive China buying U.S. soybeans
- Trade expects USDA report to lower corn yield, production, & potentially harvested acres
- No daily export sales announced from China
- Funds net sellers of 1K contracts – O/I – 7,200 contracts
WHEAT
- Dec CHI up 6-1/2 @ 6.02 & Dec KC up 7-3/4 @ 5.36 3/4 & Dec MPLS up 8-1/2 @ 5.51
- Ukraine receiving rain however Russia remains dry for the next week
- Trade expects USDA report to decrease ending stocks & world ending stocks
- U.S. weather all still too dry foster good planting conditions, but favorable for winter wheat harvest
- Funds net sellers 11K contracts of SRW – O/I -5,900 contracts SRW & -955 contracts HRW
CATTLE
- Oct LC up 0.57 @ 110.30 & Oct FC up 0.22 @ 138.27
- Highest average weight since Nov 2015 could drive product up
- Trade remains light ahead of USDA report regarding price impact on grains
- Cash prices for Wednesday were $107-108 for LC & 142.60 for FC
HOGS
- Oct up 0.37 @ 77.72
- November 9 CME launches Pork Cutout futures & options
- China finds African swine fever in piglets in Chongqing
- Traders need confirmation from cash & pork values to keep price momentum
- Strong demand will keep front month supported
Author
Amberlee Bratcher