TFM Midday Update 7-23-20

CORN

September down 0.0125 @ 3.2625, December down 0.015 @ 3.3325, March down 0.0125 @ 3.435
Pressure on US dollar, fire at a Brazilian port yesterday
Lack of threatening forecasts
US sold 220,600 tonnes of corn for the week ending July 16, down 76% from the previous 4-week average and down 56% from the previous 4-week average
December futures briefly tested the 10-day moving average resistance level
Prices have since backed off and are still oversold

August up 0.0425 @ 9.035, September up 0.04 @ 8.98, November up 0.0275 @ 8.9825
Forecasts are not showing widespread heat and dryness
Strong demand from China
Dropping palm oil production and stocks in Indonesia
US sold 365,200 tonnes of beans for the week ending July 16, up 17% from last week but down 31% from the previous 4-week average
November beans are trading within a relatively quiet session so far
Nearby contracts are testing the highs from Monday

Dec CHI down 0.055 @ 5.3425, Dec KC down 0.0625 @ 4.5325, Dec MPLS down 0.025 @ 5.2575
US dollar at lowest levels since early March
Market is still trying to price in record world inventories
Russia wheat acreage estimates increased by 1.2% for the 2020/2021 marketing year
US sold 616,700 tonnes for the week ending July 16, down 19% from last week but up 24% from the previous 4-week average
CHI futures are currently testing their 10-day moving average resistance level
KC futures fell back below their 10 and 20-day moving average support
Spring wheat futures are recovering near the session highs

August lives down 0.52 @ 100.97, October lives down 0.85 @ 104.87, December lives down 0.70 @ 109.42
August feeders up 0.77 @ 142.30, September feeders up 0.22 @ 143.50
Cattle on Feed report on Friday
Bearish Cold Storage report yesterday
Cash markets trying to push higher
August lives have fallen back below the 10-day moving average support in a bearish outside day

Sam Seid