CORN
- Dec down 4 @ 5.23
- Over the weekend corn yields in the east reported to be a little less than what people had expected
- Corn harvest is about 8% done – should accelerate over the next 2 weeks
- Strong odds of a La Nina weather pattern this fall
- Lower stock market, higher dollar, lower energy, lower commodity prices all weighing on the grains
- Concern over probable collapse of Evergrande Group, a Chinese real estate conglomerate – $300 billion in debt and missed a major debt payment – could have ripple effects throughout the world
SOYBEANS
- Nov down 17 @ 12.67
- Still concern about export capability at the Gulf – some barges remain stranded onshore
- Last week soybeans on China’s Dalian exchange hit the highest levels since 2013 (around the equivalent of $19.73 per bushel)
- Rumors that China bought up to 10 cargoes of Brazilian soybeans for October – November
- Soybean harvest should accelerate over the coming weeks
- Southern Brazil has received good rains, though central Brazil is mostly dry
WHEAT
- Dec wheat down 7 @ 7.01, Dec KC down 11 @ 7.02, Dec MNPLS down 8 @ 8.93
- Small grains report on September 30th – USDA will issue their final wheat production estimates
- Warm, dry weather in the southern plains should help winter wheat plantings
- Paris milling futures down the equivalent of 10 cents per bushel today
- Ukraine wheat harvest is reported to be complete – production at 33mmt
- Wheat crops in Argentina need more rain
CATTLE
- Oct LC down 0.55 @ 122.25 & Oct FC down 0.275 @ 156.10
- Cattle having a hard time finding support
- Next cattle on feed report comes out Friday
- Packers unwilling to pay more for cattle, watching the weakness of boxed beef and futures
- Choice cuts down 3.53 & select down .52 on Friday
- Cattle slaughter projected at 120K
- CME Feeder Cattle Index for 9/17: up 0.58 @ 154.60
HOGS
- Oct hogs unchanged @ 85.725 & Oct pork cutout down 0.55 @ 101.175
- Cash has not been very supportive to the market
- Packers have been able to obtain sufficient numbers to meet demand
- Hogs maintain a large discount to cash
- Hog slaughter projected at 475K
- CME Lean Hog Index for 9/17: down 0.19 @ 94.26