AgriVisor Afternoon MarketWatch

Thursday, September 15, 2016
***** Corn futures down 1 3/4 to 3 cents; soybeans gain 6 3/4 to 7 3/4; Chicago wheat down 1 1/2 to 3 1/2. *****

   # The export sales report was a touch disappointing this week.  New corn, soybean, and wheat sales were 27.7, 37.4, and 14.8 million bushels, respectively.  Trade guesses were near 40, 40, and 18 mbu.  
   # A daily sales announcement of 110,000 tons of soybeans to be exported to an unknown destination helped take some of the bite out of a slightly light weekly sales total.  
   # Chinese traders are on holiday to celebrate the country’s Mid-Autumn Festival.  Market participants have wondered if the top-importer isn’t backing off of soybean purchases from the U.S. due to our government’s WTO challenge involving Chinese grain subsidies.     
   # NOPA crush data was on the disappointing side.  August soybean crushings for the organization’s members totaled 131.8 million bushels versus 143.7 last month and 135.3 a year ago.  Traders expected to see something closer to 138 million.
   # Fund trader took a break from their soybean liquidation efforts and moved to support their net-long positions.  The large speculators are estimated 70,000 contracts net-long soybeans, 185,000 net-short corn, and 125,000 net-short wheat.
   # An active trading week for stocks continued today with this session being a positive one for the major equity indices.  A rally for Apple shares was helping to lift the market.  Wells Fargo shares continued to work lower after fraud was discovered within the company’s consumer banking division.    

***** Live cattle futures gain $0.60 to $1.15; feeders up $1.02 to $1.57; hogs higher by $0.22 to $0.60. ***** 

   # Live cattle were up on optimism over demand.  Traders will watch to see if cutout values can stabilize and eventually start to gain some traction to the upside as we enter the fall season.  
   # Hog futures made a technical bounce but did not find a whole lot of buyer interest on the move.  Cash and wholesale prices remained on the defensive as traders see production still outstripping the pace of consumption.