Friday, September 18, 2015 AgriVisor Morning Marketwatch

Friday, September 18, 2015
***** Corn futures down fractionally; soybeans off 1 3/4 cent; Chicago wheat up 2 to 3 cents. *****

   Grains quietly mixed overnight: Corn and wheat futures were making a slight rebound before weakening into the break as soybeans face further pressure. Volumes are too light to make a call on opening direction. 
   Outside markets like to have another volatile trading session: Stock index futures are lower after Thursday's decision from the Fed to leave interest rates unchanged. Stocks have benefited from the cheap money costs in the last decade, but a delayed rate increase signals economic weakness.
   Fed decision knocks dollar back: The dollar is moving in the direction that could eventually benefit the grains. Currency terms have hurt export demand in the past several months and prices have suffered as a result. 
   Farmland prices continue to drop: They could decline by 6 percent on the year, just as equipment sales hit a multi-year low. Input costs have been stickier in the face of lower crop prices. 
   Chinese delegates are in town: President Xi and his entourage will be visiting the Midwest and could sign a large soybean purchasing agreement. 
   Brazilian soybean planting season underway: Winter planting bans have been lifted across the country but much of Brazil could use some moisture before beans are seeded. 
   Egypt to announce results of a wheat tender today: The top-importer will likely turn to Russia and/or Ukraine again for its latest purchase. U.S. exporters continue to have trouble competing with big surpluses and better currency terms abroad.
   Rains sweep through the Corn Belt last night and through this morning: Iowa received good coverage and up to 3/4 inch last night. Stormy weather is not expected to dissipate until late this evening, before next week kicks off a stretch of clear conditions. 

***** Hogs look to build on Thursday's strong rally; cattle futures attempt a bounce from oversold territory at the open. *****

   Cattle on Feed numbers out after the bell: Analysts are looking for total on-feed to run 103.5 percent of the year-ago tally as placements are expected near 100 percent and marketings down to 94.5 percent. 
   Hogs still enjoying bullish technical momentum: The most-active December contract has breached its 100-day moving average for the first time since June.