Comments: Front month recovery led by the bull spreaders. A recovery from last week’s correction downward also speeded up by the August discount to the live price. Midday beef modestly lower on light movement. Showlists up sharply in Nebraska, narrowly mixed out of Ks. an Tx.
Comments: Lower cash interior prices weighed on spot August hogs while the back months roamed materially higher. October posted a double low as mentioned and added some gravitas to the buy side from technicians. Pork trade midday slow, light trade. Seasonally, the upside looks limited.
GRAINS & OILSEEDS:
Corn: Seemed to struggle higher all session but was able to counter early fund selling on a combination of weather (in lighter part); oversold technicals; talk of expanded export demand. Bottom or a bounce? Stay tuned.
Soybeans: Sharply higher most of the session. November inspired by a drier tilt to the 6-10 day forecasts and its ability to recover from contract lows overnight. Oversold technical from Friday also noted.
Wheat: Not great strength but gains nonetheless. We can look at oversold in recent past action; of improved export demand on last week’s data. However, I already discounted the quality problems from France and Germany for now as per switching export sales to the U.S. as mentioned. But even that old radio voice out of Chicago and wire services put great import into that news. Remember just last week the IGC raised world production by 3.0mln. m/t’s just on higher acreage in Russia and Ukraine? I want a bull here for various reasons…but let’s be calm and wait a bit.