TFM Midday Update 9-8-2020

CORN

September up 0.0025 @ 3.475, December up 0.01 @ 3.59, March up 0.0075 @ 3.69
Traders are expecting US Ending Stocks to come in near 2.461bbu on Friday vs 2.756bbu in August
More concerns about flooding typhoon rains in China this week
China corn purchases have been huge lately
December futures traded above the 200-day moving average resistance level overnight but have fallen back below
December futures also tested and held the 10-day moving average support level this morning
Stochastics are nearly overbought
Funds bought 15,000 contracts on Friday

September down 0.0175 @ 9.6775, November down 0.005 @ 9.675, January up 0.005 @ 9.74
Traders are expecting US Ending Stocks to come in near 469mbu on Friday vs 610mbu in August
Most are thinking that rains this week are too late to do much for the soybean crop in dry areas
China soybean imports in August were down 4.8% from July but were still up 1% from last year
November beans traded at their highest levels overnight since January 9
Stochastics are sharply overbought
Increasing open interest suggests traders are adding length
Funds bought 2,000 contracts on Friday

December CHI down 0.0575 @ 5.4475, December KC down 0.04 @ 4.685, December MPLS down 0.06 @ 5.365
Traders are expecting US Ending Stocks to come in near 926mbu on Friday vs 925mbu in August
US dollar breaking higher out of recent trading range
Better weather expected for Australia and Argentina
Turkey and Pakistan are tendering for a combined 670,000 tonnes of wheat this week
December CHI has fallen below the 10-day moving average support but is currently holding the 200-day moving average support
KC and MPLS have also fallen below the 10-day moving average support but is holding the 100-day moving average support
Funds sold 3,000 contracts of CHI wheat on Friday

October lives up 1.17 @ 105.62, December lives up 1.25 @ 109.72, February lives up 1.12 @ 113.57
September feeders up 0.95 @ 138.60, October feeders up 1.00 @ 139.50
Cash markets drifted last week, 5-area average was down over 2.00 from the previous week
Beef production last week was up 13.1% from the same week last year
October lives are trading at the highs of the session so far and are above the 10-day moving average resistance
October feeders tested and held the 100-day moving average support and are now testing the 10-day moving average resistance

October unchanged @ 59.82, December up 0.12 @ 58.37, February up 0.22 @ 63.25
China pork imports in August were down 17% from July but still up from last year
China pork production in the first half of 2020 was 20% lower than last year
Cash trend still higher
Lighter weights than expected have helped to keep production from getting too high
October hogs are testing the 200-day moving average resistance level for the second session in a row
Overbought according to Stochastics and Bollinger Bands

Bryan Doherty