CORN

Corn futures were up a penny overnight after a tough technical day yesterday. Supportive news in the form of USMCA signing and soybean buying by China has failed to provide any support, as did a weaker dollar and up-trending crude. In fact, prices seemed to move lower faster on positive news. This is not a good sign for corn. Trade estimates for this morning’s USDA Weekly Export Sales are 400,000 to 800,000 tons.

SOYBEANS

Soybean futures were down 4 cents overnight. Good export sales yesterday failed to ignite upward price potential and consequently, the market finished with losses of 5 or more cents. We’ll look for steady to weaker this morning. Trade estimates for this morning’s USDA Weekly Export Sales are 500,000 to 1.10 mil tons.

WHEAT

Wheat futures were down 2 cents overnight in Chicago, steady in KC and MPLS. A lack of new positive news is allowing prices to drift. Yet, we wouldn’t necessarily argue that wheat prices are headed lower. Weather conditions, both domestically and elsewhere in the world could be viewed as supportive. Trade estimates for this morning’s USDA Weekly Export Sales are 200,000 to 450,000 tons.

CATTLE

Cattle futures are called mixed. Prices were impressive yesterday finishing higher despite lower cutout values. We can’t bring ourselves to think the cattle have a lot of upside potential in  near term with cutouts trending lower. Bids of $118/cwt in the cash market were refused and with futures higher, anything short of $120 will be unlikely to buy cattle. In the online fed cattle auction, all lots went unsold.

HOGS

Hog futures are called mixed again today as the market is searching for direction. A waiver of Chinese tariffs against pork imports is supportive and ultimately, once bigger slaughter numbers make their way through the supply pipelines over the next month, futures may begin to gravitate higher. Back months already have a premium.

Author

Kelly Rubisch