CORN
- Sept up 18 @ 5.74 & Dec up 16 @ 5.68
- Hot & dry forecast lies ahead for most of the US corn belt
- Brazil’s poor safrinha corn fell prey to another frost event
- US corn rated 65% good/excellent – unchanged from last wk
- Brazilian crop estimates continue to fall – one estimate as low as 59.1 mmt
- Demand slower with China’s price of corn falling
- Weekly export inspections total 1.000M mt
- Preliminary changes in futures open interest as of 7/19, down 6,940
SOYBEANS
- Aug up 18 @ 14.46 & Nov up 27 @ 14.00
- Futures supported by soybean oil & meal up today
- Northern plains and central grain belt will see triple digit temps this week
- US soybean rating up 1% from last wk at 60% good/excellent
- Demand expected to stay strong with China’s soybean prices over $18 per/bu
- US expected to stay mostly dry into August – key month for soybeans
- Weekly export inspections total 143.9K mt
- Preliminary changes in futures open interest as of 7/19 up 4,901 contracts
WHEAT
- Sept wheat 11 @ 7.09, Sept KC up 13 @ 6.65, Sept MNPLS up 11 @ 7.09
- MNPLS headed for 8th straight day in a row of a positive close
- US spring wheat rating dropped from 16% to 11% good/excellent
- 63% of the crop is rated poor/very poor
- Canada, Ukraine, and Russia will all likely see decreases in production
- Weather for spring wheat crops still drought ridden
- Weekly export inspections total 490.6K mt
- Preliminary changes in futures open interest as of 7/19: up 899 contracts of SRW
CATTLE
- Aug LC down .27 @ 119.95 & Aug FC down 1.45 @ 155.90
- Smaller show lists may indicate feedlots are current & holding for higher prices
- With corn up strong today, futures are being pressured
- Boxed beef prices refuse to show any signs of stability
- Cattle slaughter projected at 120K
- Feeder Cattle cash index for July 16: down .66 @ 150.73
HOGS
- Aug hogs up .52 @ 105.00 & Aug pork cutout up 1.15 @ 113.40
- Packers may need to be more aggressive to meet demand.
- China pulling back from importing pork may back up supply into domestic market
- Cash prices need to rise to keep futures supported
- Hog slaughter projected at 462K
- Cash lean index for July 15: up .55 @ 111.89
Author
Amberlee Bratcher