Corn:
Dec corn up 1/2 after probing lower overnight and bouncing off last week’s low at 526 1/2, helped by Ukraine’s strike on Russia’s Novorossiysk port. Conditions fell 1% to 56% G/E vs 68% last year, and Friday’s WASDE is expected to cut yield to 178.1 BPA with ending stocks down to 1.511 billion bushels. Breaks remain buying opportunities with 526 1/2 the key support.
Soybeans:
Nov beans up 3 1/4, consolidating just 8 cents from the contract high with open interest at a new 2026 high. Conditions held at 58% G/E vs 64% a year ago, and Friday’s WASDE is expected to show yield at 52.4 BPA with ending stocks down to 291 million bushels. No significant pullback since August 11 keeps the path of least resistance up.
Wheat:
Dec Chicago wheat up 6 1/2 after Ukraine struck Russia’s key Novorossiysk port facilities. Pakistan announced a 750,000 tonne import tender while Saudi Arabia canceled its 535,000 tonne tender on high prices, and Latvia plans a 300% tariff on Russian grain through its ports. Key support 730: a close over 760 sets up a retest of the 795 contract highs.
Livestock:
Oct live cattle broke out to a 2 week high and closed on the highs, extending the correction off the double bottom just below 210: next target 220.05 with pullback support up to 214.75. Boxed beef cutout up $1.40 to $377.57. Oct hogs rallied sharply on fund short covering with October open interest down more than 10,000: above last week’s 84.90 high opens the 200 day moving average just over 87.00.
Energy:
Crude is up more than $16 in the last 2 weeks and is cited as a supportive factor for corn through firmer ethanol economics. Argentina’s corn exports are expected at record highs for August and September as more Brazilian corn gets funneled to domestic ethanol plants. Weekly energy stocks and ethanol production data are due out this morning.
|
