TFM Midday Update 11-20-20

CORN

  • Dec +1 @ 4.23 & March +1 @ 4.29
  • Corn still showing strong resistance at 4.35 ¾
  • Daily export sales of 158.2K mt of corn – to Mexico & 131K mt to unknown
  • Weather supportive of harvest wrapping up
  • Argentina dry again yesterday, and need for significant rain soon
  • Preliminary Open Interest saw corn futures up 412 contracts

SOYBEANS

  • Jan +5 @ 11.83
  • Surge to new contracts highs with overbought technicals
  • Soybeans appear to be headed toward $12, 12th day higher close out of the last 14
  • Brazil still expected to receive critical rainfall late next week
  • Soybeans lead the way as new money came in as longs due to tightening balance sheets
  • Preliminary Open Interest saw soybeans up 4,723 contracts

WHEAT

  • Dec Chi +3 @ 5.95, Dec KC +2 @ 5.51, Dec MNPLS -1 @ 5.46
  • US HRW wheat areas will get some very important moisture this weekend
  • Plentiful wheat stocks versus weather concerns continue to keep market choppy
  • Drought monitor expanding in Oklahoma & Eastern Kansas
  • Concerns still remain for Russia – alternatively Australia better than expected yields
  • Preliminary Open Interest saw SRW Wheat futures up 2,370 contracts

CATTLE

  • Dec LC -.85 @ 107.40 & Jan FC -.62 @ 135.95
  • Traders positioning ahead of Cattle on Feed report, out today at 2 p.m. CT
  • Concern report will show larger cattle placement numbers than last month
  • Current feed prices continue to be a major obstacle for feeders
  • Projected slaughter for today est. at 117K head
  • Cash prices asking around $110 for LC & 137.51 as of 11/18 for FC cash index
  • O/I: -2,243 contracts for Dec LC & O/I: +366 contracts for Nov FC

HOGS

  • Dec Hogs +.90 @ 64.60 & Dec Pork Cutout +1.32 @ 79.57
  • Yesterday’s market move lower could push prices lower headed into the holiday
  • Huge seasonal production needs to be absorbed
  • Long-term concern about losing export demand keep thumb on futures
  • Hog slaughter 485K estimated today
  • Cash lean index @ 68.77 for 11/18
  • O/I: -826 contracts for Dec

Author

Avatar

Amberlee Bratcher

Sign up to get daily TFM Market Updates straight to your email!

back to TFM Market Updates