Lakefront Morning Briefing

Lakefront Morning Briefing

Corn:
Dec corn down 4 1/2 overnight, testing Sunday night’s lows at 458 with 451 the next retracement support below. Private analysts pegged US yield at 184.8 BPA, above USDA’s 183.0, and that plus Midwest rain is outweighing bullish news. No ships have entered Odessa in 2 weeks and EU corn output is seen down 20% to 48 million tonnes, with the 450 area starting to look like value.

Soybeans:
Nov beans at a new 1 month low, down 7 overnight and lower in 5 of the last 7 sessions. Rain chances over the next 5 days cover Missouri, Iowa, Illinois and other prime production areas. Prices sit just under 100 day and retracement support at 1170: a close below is another bearish blow, though June exports to China were the largest for that month in 8 years.

Wheat:
Sep Chicago wheat steady after testing the week’s lows overnight, with 0.618% retracement support at 627 nearby. No vessels have entered Odessa in 2 weeks and Ukraine says port storage could be full by early November. Russia’s August exports are seen down 32 to 43% and the UK crop is the smallest since records began in 1984: friendly news waiting on corn and beans to stabilize.

Livestock:
Oct live cattle rebounded for a high range close and may extend the bounce, with 50% retracement resistance at 230.00 and pullback support at 224.15. Boxed beef up $2.92 to $369.65 and southern Plains heat keeps animal stress high. Oct hogs traded inside last Thursday’s range a 3rd straight day, holding support near 83.00 with resistance at 86.30 and support at 81.90.

Reports Coming Out Today

Energy Stocks 9:30 AM
Ethanol Report 9:30 AM
Dairy Products Sales 2:00 PM