Corn – After 2 weeks of short covering funds appeared to take yesterday off, ethanol expected 1100K
↔After 2 weeks of fund short covering they appeared to take yesterday off, this is not yet a sign of them moving to the sidelines and in fact most will expect buying today at the end of the month
↑ The low in Dec during the month of July has been 403, larger support still expected near 400
↔Ethanol has recovered back to a moderate level recently and will be expected near 1100K today
↔Exports last week bounced back to a moderate 1077K, if that bounce can extend further tomorrow over 1100K then it may give the impression demand is picking up with Dec near $4
Beans – A reduction in rains on the 6 – 10 day outlook this morning, temps also slightly warmer
↑ In the last 2 weeks we have seen beans react to each weather map update just and the same is true this morning with the 6 – 10 day reducing rains slightly and increasing temperatures slightly
↔The heat breaks on day 7 with most areas then returning to slightly below average temperatures
↔We should expect fast reactions to weather map changes likely for the next 2 weeks yet
↔Like corn, beans saw a bounce back in exports last week to 918K, if that continues or improves on tomorrow’s report then it would start to give the feeling demand is improving at these price levels
Wheat – Overseas wheat saw a fractional bounce, exports fell last week despite lower price levels
↔Overseas wheat was up only a fraction last night not offering much in the way of influence so far
↓ Last week saw exports fall back to 309K which is not only poor but disappointing to see exports slow at these new lower price levels, this takes away some recent support that was tied to better exports
↑ The 3 year low for Dec wheat is 527 ½, the only chart level to mention as potential support
Cattle – BB calm yesterday but a few more buyers stepping back in late in the session
↔Yesterday’s PM BB was choice -0.33 Select -0.14 packer BE at 195.54, packer cushion $5.34
↑ After the 3 day bounce in BB a few traders started to bring back buying support confidence yesterday
↔Funds appeared to be sellers Monday but then back on the sidelines yesterday
↔The chart is fairly open for October before seeing support (184.30) or resistance (189.50/194.675)
↓ We should still expect resistance at $200 in every aspect, if any futures contract reaches near that level or a cash trade reaches near that level in any area we should expect resistance
↔Longer term the overall direction of cattle is likely to continue being dictated by boxed beef