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AgriVisor Afternoon MarketWatch

 
Monday, August 29, 2016
***** Corn down 3 to 4 1/2 cents; soybean futures off 1 1/4 to 7 1/2; Chicago wheat drops 11 to 13.​ *****

   # Chicago futures fell to lows not seen in 10 years as traders paired oversupply worries with news that Egypt will reinstate its zero-tolerance policy on imports containing ergot fungus.  Market participants will see what kind of offers are sent to Egypt next time the top-importer tenders for wheat.
   # Corn futures suffered from spillover selling pressure and were sent to new contract lows.  Below $3, nearby corn futures have old lows from 2008 and 2009 to contend with next at $2.90 and $2.96 3/4, respectively. 
   # Pro Farmer wrapped up last week’s crop tour with yield estimates of 170.2 bushels per acre corn and 49.3 bpa soybeans. 
   # Weekend rains were light but widespread across the Corn Belt.  The 6-10 and 8-14 day weather maps have precipitation chances biased a little heavier in the North, lighter in the South.  Temperatures are expected to run above normal through the first half of September. 
   # Outside markets were a negative influence for the grain space at the start of the week.  Crude oil prices dropped as traders discounted the likelihood of a production freeze coming out of the September OPEC meeting.  The dollar was higher as better chances of an early-2017 Fed rate hike were priced in.  

***** Live cattle futures finish $0.87 to $1.27 lower as feeders drop $0.57 to $1.47; hog futures steady to $0.62 lower.  *****


   # Cattle futures were lower as market participants priced in weaker cash and wholesale prices.  October live cattle futures put in new contract lows but remain technically oversold.         
   # Hog futures were choppy at the start of the week with some bull spreading features.  The cutout report had the carcass average up $0.75 to $77.14 on the day.  

  SYMBOL IN EVEN SQUARE