TFM Midday Update 7-10-20

CORN

July down 0.03 @ 3.4825, September down 0.035 @ 3.4575, December down 0.04 @ 3.53
Less threatening weather over the next week or so
Some forecasts for a ridge at the end of July that could last up to two weeks
Position taking ahead of WASDE report
Dec corn trading at the lows of the day so far
100-day moving average support at 3.505 is still holding

July up 0.0125 @ 8.995, August down 0.015 @ 8.95, November down 0.0275 @ 8.9875
Rain in forecasts for the next week should aid in crop development
Ridge in forecasts for the end of the month could stress crop, especially if it persists into August
Strong weekly export sales total, China has been an active buyer
November has traded within a quiet, two-way session thus far
Stochastics are nearly overbought

December CHI up 0.035 @ 5.335, December KC down 0.025 @ 4.655, December MPLS down 0.0075 @ 5.385
Declining conditions in Argentina, France and Russia
La Nina weather pattern could further impact Argentina yields
Rains seen in northern US should keep spring wheat in good shape
Dec CHI wheat is testing resistance at the 100-day moving average
KC futures tested and failed to punch through the 50-day moving average resistance for the second session in a row
Spring wheat futures are barely hanging onto the 50-day moving average support

August lives up 0.52 @ 99.77, October lives up 0.25 @ 104.17, December lives up 0.42 @ 107.87
August feeders up 0.60 @ 135.12, September feeders up 0.50 @ 136.67
Lowest Choice beef values since October 2018
Cash trade choppy, mostly steady with last week
Heavy slaughter and beef production lately
August lives and feeders are trading just off the highs of the day but still within yesterday’s range

July up 0.12 @ 45.97, August down 0.35 @ 49.85, October down 0.82 @ 49.70
Cash Index is trying to turn higher
Sharp jump in pork values yesterday
Ham values have nearly doubled in the past two sessions
China pig prices are up 2.3% for the month so far
August hogs are still trapped between 10-day moving average support and the 20-day moving average resistance

Bryan Doherty