AgriVisor Afternoon MarketWatch

Friday, July 22, 2016
***** Corn futures up a penny; soybeans drop 21 to 26 cents; Chicago wheat up 9 to 10 1/4. ***** 

   # Speculators were seen cutting soy longs and funneling some money into corn and wheat markets.  New three-month outlooks paint a less threatening picture for soybean production potential.
   # Funds were estimated sellers of 25,000 contracts of soybeans before a minor midday bounce off of session lows.  They were thought to have carried a net-long position of around 125,000 contracts into the session. 
   # December corn futures finished with a penny gain after marking a fresh contract low but did not surpass Thursday’s high.  This week’s action leaves $3.50 to serve resistance to corn futures.  November soybean futures settled under psychologically-important support from $10 but returned back inside the Bollinger Bands before the close.  
   # The forecast has scattered showers popping up across the Corn Belt through Monday.  Chances have it that rain will continue falling in the Midwest on Wednesday/Thursday.
   # Chicago wheat futures found a bid after prices in Europe rallied to reflect diminished quality and yield in France.  Crop scouts call French soft wheat just 42 percent good or excellent.  
   # Farmers in Argentina look to have planted less wheat than had been expected as some regions with too much moisture will wait and plant corn or soybeans.  The wheat planting window in Argentina runs May to mid-July with August kicking off corn planting season and soybeans not put into the ground until October/November.  
   # Truckers are still on strike in Argentina and are reportedly creating a headache for shippers at the main grain port in Rosario. 
   # U.S. stocks were quietly higher.  Traders packed it up early for the weekend because there was little economic news to be reported today.  Next week’s Federal Reserve meeting will garner attention.    

***** Live cattle finish $1.90 to $2.42 higher; feeders end $2.10 to $2.80 higher; hogs gain $0.82 to $2.05. ***** 

   # The Cattle on Feed report was friendly relative to expectations.  Total on-feed came in at 101.2 percent of the year ago number versus expectations for 101.6 percent; placements were 103 percent versus an average trade guess of 106.5; marketings at 109.4 percent, as expected.  
   # Hog futures followed cattle higher to allow the October contract to finish up for the first time in 14 sessions.