Markets Waiting For Today's USDA Report
Aug 12, 2013
Good Morning! Paul Georgy with early morning comments for August 12, 2013 at 5:00 am. Grain futures are mixed in a quiet session ahead of the USDA Report. The US Dollar is stronger and stock indices are suggesting a lower opening.
Traders are waiting for the USDA Crop Production report at 11:00 am. It is expected that corn yields and total production will increase with the likelihood to see increases on subsequent reports. Soybean numbers are expected to create some excitement as yield and acres could be adjusted to impact total production. Weather over the next several weeks will have a huge impact on soybean yields.
The weekend rains were about as expected. The 6 to 10 day forecast is a little drier than last week but the models are not in agreement. Temps are expected to remain cool.
Basis on corn has held steady as farmer selling is limited. Soybean basis works lower as meal demand wanes.
Taiwan announced late on Friday that MFIG bought 60,000 tonnes of corn from Brazil for late Oct delivery.
CFTC Commitment of Traders report showed Managed Money Funds increasing their short positions in corn and wheat. They reduced long positions in soybeans by 31,910 contracts to leave them net long 43,580 contracts.
There were another 20 contracts of cattle delivered against the August Live Cattle futures though July 19, 2013. Total deliveries have been 160 with 140 retenders. Beef cutout values were slightly higher on Friday with choice up .68 and select was down .05. CME Feeder Index was up .50 to 150.24. Cash hogs are expected to start the week under pressure. Pork cutout values closed the week on a firm note being up 1.13.
Tune into Rich Nelson shortly after 12:00 for a review the USDA Report. It will be available on our home page at www.allendale-inc.com.
Markets as of 5:00 AM
- Dec #Corn +1
- Nov #Beans +8 1/2
- Sep #Wheat -1 3/4
- Oct #Cattle steady
- Oct #Hogs steady
- Sep Dlr +.29
- Sep S&P -9.25
- Sep Crude +.30
- Oct Gold +14.60
View Today’s Chart of the Day
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