CORN
- July up 0.325 @ 3.4575, September up 0.03 @ 3.465, December up 0.025 @ 3.56
- Hot and dry forecasts for the next two weeks
- Drought monitor showing stress in parts of central Illinois and Indiana
- EPA postponed biofuel blending mandate
- Dec corn is making its second inside session in a row
- Prices are lower than opening trades but still holding gains
SOYBEANS
- July up 0.09 @ 9.015, August up 0.09 @ 9.00, November up 0.1125 @ 9.08
- Lack of moisture in forecasts, drought stress appearing in North Dakota, Illinois and Indiana
- Pressure in soybean oil late Thursday
- Basis levels a bit soft for this time of year
- November beans are trading in the middle of the day’s range so far
- Prices tested the 200-day moving average earlier but couldn’t break through
WHEAT
- Dec CHI down 0.03 @ 4.9675, Dec KC up 0.0075 @ 4.475, Dec MPLS up 0.0275 @ 5.265
- French wheat harvest is underway, conditions are 19% below last year
- German harvest is starting in a few weeks, excess moisture is causing quality issues
- Lower EU and Ukraine crop should help to boost US exports in August through December
- CHI futures are trapped between the 10-day moving average support and 20-day moving average resistance
CATTLE
- August lives up 0.92 @ 100.32, October lives up 1.30 @ 103.97, December lives up 1.02 @ 106.92
- August feeders up 1.27 @ 136.15, September feeders up 1.35 @ 137.20
- Cash trade was slightly lower last week, volume was light which is not unusual for a holiday week
- Strong jobs report last week gave strong economic tone
- Heavy weights are keeping beef production very high
- August lives are trading at their highest levels since May 13
- Technicals are close to overbought
HOGS
- July up 0.45 @ 45.17, August up 0.35 @ 49.55, October up 0.50 @ 48.82
- Cash Index slightly lower
- Sharp bounce in pork values on Thursday
- Strong exports to China lately, exports in May accounted for a record percentage of US production
- Covid outbreak in Brazil is raising uncertainty regarding production capabilities
- August tested the 10-day moving average resistance but has since pulled back
Author
Bryan Doherty