TFM Midday Update 9-18-20

CORN

December up 0.0125 @ 3.765, March up 0.0175 @ 3.8575, May up 0.0225 @ 3.91
Good weather for harvest may encourage some farmer selling
Talk that solid prices and dry early planting weather may encourage extra corn plantings in Argentina
Steady flow of China and “unknown destinations” buying
Increasing open interest
Dec corn made its highest close yesterday since March 11
December futures are currently trading near the middle of the day’s range

November up 0.095 @ 10.38, January up 0.105 @ 10.4175, March up 0.115 @ 10.355
News of a $13 billion farm stimulus package may ease producer selling in the short term
Export sales are running 22% ahead of the average pace
Palm oil futures were up 9.6% overnight
November futures are still extending the recent rally beyond the upper Bollinger Band resistance area
Increasing open interest suggests continued new fund buying

December CHI up 0.0925 @ 5.655, December KC up 0.1175 @ 4.9925, December MPLS up 0.0625 @ 5.4775
Russian export prices jumped 8.00-10.00 in their sale to Egypt this week
Tender activity has been extremely active this week which should support all wheat varieties
US dollar is lower
CHI futures are testing the overhead Bollinger Band resistance line for the first time since September 9
KC futures are trading at their highest prices since May 11
MPLS futures are retesting the 200-day moving average resistance

October lives up 0.87 @ 107.65, December lives up 1.12 @ 112.45, February lives up 0.80 @ 116.55
September feeders up 1.27 @ 141.20, October feeders up 1.42 @ 142.87
Carcass weights are increasing and slaughter counts are picking up as well
Cash cattle markets have continued to firm though beef prices have fallen 12 sessions in a row
October lives are trading at their highest levels today since August 26 after a quick test of the 50-day moving average support
October feeders are testing their 50-day moving average resistance level, and a close above could restart the trend higher

October down 0.12 @ 66.40, December down 0.60 @ 63.02, February down 0.12 @ 68.07
Cash Index is up 1.42 @ 67.84
Pork values were up sharply at yesterdays close
Pork export sales for the week ending September 10 were the second highest since April
Bans on German pork products will likely boost US exports
Hog futures are overbought technically

Bryan Doherty