Corn – GTE -2% at 65%, active cash selling expected all week, some fund buying possible yesterday
↔Corn GTE fell 2% which will be seen as neutral with 65% still being a solid number
↓ Cash selling should be expected every day this week due to Friday being the end of the month
↓ Because producers using deferred pricing need to make a move by Friday it removes technical considerations from the chart, even if corn is oversold some will still need to make sales this week
↔Open interest fell 11K yesterday so it is possible that funds covered a few shorts again yesterday
↔The Farm Progress show starts today, we may hear a few yield reports from that show
Beans – GTE down 1% at 67%, talk of China buying but no 8 AM sales yesterday, heat moves out today
↔Like corn, the 1% drop in GTE keeps beans at 67% and that is still a solid number this time of year
↔There continues to be talk of China buying and in new crop they have been here often the last 2 weeks but more is needed, the fastest support would likely come if China started buying old crop
↔The current heat may have added support yesterday, for most that is expected to move out tonight
↔Trade did not see too concerned with PF’s lofty bean yield number, most traders are likely to stay put with their yield thoughts given that harvest is not that far away now
Wheat – Concerns about the quality of French wheat is continuing overseas trade lower
↓ Most of the overseas setback has been due to Russia finding better yields than expected but now there is also concern French wheat may have quality concerns
↓ Overseas continues to slowly weigh on US wheat, each move to new lows for Dec CHI is a new 4 year
low for that contract so better general support is expected every day
Cattle – Even more easing of panic yesterday, BB still sideways, +10K showlist, packer profits at $12
↔Friday’s PM BB was choice -1.44 select -0.27 packer BE at 195.61, packer cushion $12.29
↑ Even more easing from panic trade yesterday, October is still priced $4 under cash which is no longer an extreme but does suggest than on even steady cash news another $1 to $2 bounce is possible
↔Showlist is +10K but at the same time packers are starting the week with $12 profits which is right at the high of the year for them so it is still possible to see packers pay higher if sellers ask for higher price
↔First chart resistance is not seen until close to 181 in October, charts are not much consideration
↔We will see if there is a cash bid today, normally would not expect it but we did last Tuesday