Provided by Stewart-Peterson Inc.
CORN
- Dec corn down 5 @ 6.77
- A possible railroad strike is looming, after a 2nd rail union voted no on the agreement
- National corn basis is the strongest in 10 years (despite Mississippi River issues)
- The deputy ag minister in Mexico stated that the country will proceed with a ban on GMO corn imports by 2024
- Harvest conditions should be mostly favorable for the next 7 days
- US corn export commitment is well below a year ago – USDA will likely lower the export number and raise the carryout on the November report
SOYBEANS
- Nov soybeans down 9 @ 13.73
- USDA reported sales of 126,000 mt of soybeans for delivery to China and 198,000 mt for delivery to Spain (both during the 22/23 marketing year)
- There is concern about soybean export demand, despite the fact that export commitments to date are above last year
- China may see continued lockdowns of up to 200 million people, which could lower their import demand for raw materials and soybeans
- Palm oil futures fell about 4% on Friday
- First notice day for November futures is on Monday
Like what you’re reading?
Sign up for our other free daily TFM Market Updates and stay in the know!
WHEAT
- Dec wheat down 13 @ 8.25, Dec KC down 15 @ 9.17, & Dec MNPLS down 8 @ 9.43
- The 6-10 day forecast shows broad rain coverage through the western US
- Paris milling wheat futures have fallen below the 50 and 100 day moving averages
- The European weather model puts rains in western Kansas, but the American model does not have rains in that area
- Russia may be reluctant to extend the Ukraine export deal, claiming that only 3% of the exports have gone to the poorest countries and half going to western countries
- In Argentina, only 11% of the wheat crop is rated good to excellent
CATTLE
- Dec LC down 0.250 @ 153.175 & Nov FC up 0.550 @ 178.675
- Southern cattle traded $2 higher and northern cattle were up to $5 higher
- Strong cash may indicate tightening supply
- Weekly export sales of 14,100 mt were neutral
- Demand remains strong and boxed beef prices are trending higher
- Choice cuts up 1.63 and select up 3.31
- Cattle slaughter projected at 117K
- CME Feeder Cattle Index for 10/27: down 0.18 @ 174.78
HOGS
- Dec hogs up 0.525 @ 85.650 & Dec pork cutout unchanged @ 95.775
- Hog futures may continue to correct from an overbought situation
- Slaughter pace remains strong, but upside potential may be limited with cutouts struggling to trend higher
- Disappointing export sales of 20,300 mt and cash down offered weakness to the market yesterday
- National Direct Afternoon report declined 6.99
- Hog slaughter projected at 483K
- CME Lean Hog Index for 10/28: down 0.32 @ 94.15
Author
Brandon Doherty