TFM Midday Update 7-28-20

CORN

September down 0.045 @ 3.205, December down 0.0475 @ 3.295, March down 0.05 @ 3.405
G/EX conditions reported yesterday @ 72% vs 69% last week, many analysts increased yield estimate by 1.5bpa
Cooling temps this week will further benefit crops
Dollar is higher today
December futures are trading at their lowest levels since June 29
Oversold stochastics

August down 0.125 @ 8.94, September down 0.135 @ 8.8525, November down 0.1475 @ 8.85
G/EX conditions reported yesterday @ 72% vs 69% last week, many analysts increased yield estimate by 1bpa
Cool forecasts for the near term future will help the soybean crop begin August stress-free
Above-normal precipitation is also beneficial for crop conditions
Strong China demand but relations are getting a bit icy
November beans are trading at their lowest levels since July 16
Closes below the 10 and 20-day moving average levels would be a bearish technical development

December CHI down 0.0775 @ 5.27, December KC down 0.0625 @ 4.4425, December MPLS down 0.01 @ 5.21
Winter wheat harvest was reported yesterday @ 81% complete, steady with the 10-year average
Egypt is tending for wheat today and Russia appears to have the lowest bids
Russian wheat crop will likely come in larger than expected due to increased plantings
CHI futures have fallen below the 100-day moving average and are testing the 20-day moving average support level
KC and MPLS futures are trading at the lowest levels since July 20

August lives up 0.40 @ 100.82, October lives up 0.85 @ 104.65, December lives up 0.55 @ 108.62
August feeders up 1.87 @ 141.22, September up 1.55 @ 141.15
Early-week cash trade was steady with Friday’s trade
5-area average last week was higher than the previous week
Higher beef close yesterday despite technical damage
October lives have pushed back above the 20-day moving average level

August unchanged @ 54.55, October down 0.17 @ 50.57, December up 0.15 @ 51.70
Cash Index is trending higher, pork values closed higher but couldn’t retain mid-day strength
Pork production is surging
China will be selling 10,000 tonnes of pork from state reserves on Thursday
August hogs tested the upper Bollinger Band resistance level but have since fallen back and are trading just off the lows of the day

Kelly Rubisch