AgriVisor Afternoon MarketWatch

Monday, September 19, 2016
***** Corn futures settle fractionally higher; soybeans up 6 1/2 to 8 cents; Chicago wheat steady to 2 lower.*****

   # Grains started the session with follow-through strength, but corn turned lower by mid-session.  A choppy trade followed another light-volume session.  
   # No daily sales announcements for soybeans, but 191,000 tons of corn were sold to Mexico.  Traders expect to see some flash soybeans sales in the coming days now that Chinese buyers are back from holiday and looking to cover needs.
   # Export inspections were lower on the week.  Soybean shipments totaled 27.7 million bushels versus 34.9 last week.  Corn inspections were 50.6 mbu versus 52.9 LW with wheat 20.7 versus 27.3.
   # Egypt cancelled yet another wheat tender after finding no interest from sellers afraid to find their cargos eventually rejected because of a zero-tolerance ergot fungus policy maintained by Egypt.  The Egyptian state grain buyer has people to feed and will be expected to lift that policy.  
   # Crop Progress numbers were reported after the bell.  Corn harvest progress is called 9 percent versus 5 last week and 9 a year ago.  The crop held at 74 percent Good or Excellent.
   # Half of the country’s soybean crop was estimated to be dropping leaves with 6 percent harvested versus 4 percent last year and 5 percent for the five-year average.    
***** October live cattle futures up $0.02 with December down $0.70; feeders off $0.27 to $1.17; hogs down $0.55 to $1.77. ***** 

   # Cattle futures could not take advantage of technical momentum, finishing flat in the front and slightly weaker for December live and beyond.  Last week’s strength for negotiated cattle was enough to return a premium for the cash over futures, but only a premium of about $2.  Cutout values were mixed at the start of the week, choice down $0.65 with select up $0.79.
   # More of the same for the hog market with futures pressured lower by weaker cash and wholesale values.  Slaughters were starting out the week at elevated levels and help keep fundamental sentiment bearish.