CORN
- Dec up 12 @ 5.80
- Corn exports are still down 16% from last year
- Ethanol production last week was at 1.016 million barrels per day
- The Buenos Aires Grain Exchange said 28% of Argentina’s corn crop is planted
- January corn on China’s Dalian exchange is around the equivalent of $10.36 per bushel
- Corn has closed higher for the past 6 sessions, and may be 7 today
SOYBEANS
- Nov up 6 @ 12.42
- The Biden administration has proposed a $1 billion investment in biofuels over 10 years
- Excess moisture in the eastern Midwest may slow harvest
- Soybeans are about 50% planted in Brazil
- US soybean exports are down 41% from last year
- Soybean yields could be increased on the Nov 9 WASDE report
WHEAT
- Dec wheat up 24 @ 7.97, Dec KC up 20 @ 8.06, Dec MNPLS up 24 @ 10.76
- Drought remains a worry in some winter wheat areas
- Wheat continues its upward trend despite being technically overbought
- Paris milling wheat futures have come within 7 Euros of the all time high (the equivalent of 22 cents per bushel)
- Egypt is tendering for wheat, partly driving the market
CATTLE
- Dec LC up 0.450 @ 129.725 & Apr FC down 0.375 @ 160.425
- Cash is expected to trade higher this week
- Packers need cattle to fulfill brisk chain speed
- A bottom may be in place for boxed beef
- Choice cuts up 0.83 and select up 0.73
- Cattle slaughter projected at 120K
- CME Feeder Cattle Index for 10/29: up 0.92 @ 155.88
HOGS
- Feb hogs down 0.150 @ 78.525 & Feb pork cutout up 0.200 @ 92.200
- December and February have gaps in the charts above current levels, which may be filled at some point
- Packers have been able to attain the desired supplies without much difficulty
- Some would argue the hog market established a double bottom on the charts
- National Direct Afternoon report declined 0.82
- Hog slaughter projected at 477K
- CME Lean Hog Index for 11/1: down 0.81 @ 79.89
Author
Brandon Doherty