CORN
- Dec up 8 @ 5.25
- Brazil corn crop plantings are increasing – conditions are favorable due to recent rains
- France’s corn harvest is 15% done vs 62% average
- Ukraine corn harvest is 22% done – looks like they will have a 39 mmt crop
- January corn on China’s Dalian exchange is near the equivalent of $10.09 per bushel
SOYBEANS
- Nov up 11 @ 12.17
- 20% of China’s soybean crushers have downtime due to coal / electricity shortages
- Talk that in the near future US soybean crush capacity will increase for green fuel and soybean oil
- November soybeans on China’s Dalian exchange are around the equivalent of $18.89 per bushel
- USDA reported an increase of 42.2 mb of soybean export sales
WHEAT
- Dec wheat up 12 @ 7.37, Dec KC up 15 @ 7.46, Dec MNPLS up 16 @ 9.76
- US HRW wheat 2022 prices are competitive to Europe and the Black Sea
- At current pace, Europe’s wheat exports would be 47 mmt
- Drought could remain a concern into 2022
- Rumors yesterday that China bought 5-6 cargoes of French wheat
CATTLE
- Dec LC up 0.275 @ 130.575 & Apr FC down 1.175 @ 164.125
- A strong stock market could lead to better beef demand as traders have more faith in the economy
- Cattle futures have rebounded from some of their recent losses
- Boxed beef may have found a bottom
- Choice cuts up 0.30 and select up 1.98
- Cattle slaughter projected at 109K
- CME Feeder Cattle Index for 10/14: down 0.25 @ 154.01
HOGS
- Feb hogs up 0.850 @ 81.150 & Feb pork cutout @ 92.775
- There is still a gap below current levels, but it was almost filled yesterday
- Once the gaps are filled, traders may be more willing to buy
- Packers remain nonaggressive due to ample supplies
- National Direct Afternoon report increased 0.14
- Hog slaughter projected at 474K
- CME Lean Hog Index for 10/15: down 0.91 @ 88.82
Author
Brandon Doherty