What will be market focus after Eleven O’clock?
Jul 11, 2014
Good Morning! Paul Georgy with early morning comments for July 11, 2014at 5:30 am CDT.
Grain futures are slightly higher on short covering and position adjusting ahead of the USDA Report.
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8:00 AM Update - Morning Coffee Commentary:
For ending stocks estimates for todays report, check out of July USDA WASDE page. It will also be updated after 11:00 AM CDT with report results and analysis.
Allendale thinks the adjustments on today’s Supply and Demand report for old corn could come in feed use, ethanol use and exports with a net increase in Ending Stocks.
New crop corn will likely see adjustments in planted acres, harvested acres and possibly yield. The USDA is less likely to change soybean yields on the July report as they have made adjustments only one time out of the last 28 years.
Ending stocks for new crop soybeans could reach 400 million bushels, more than 3 time current year ending stocks.
Old crop soybeans are being watched closely on how the USDA will handle the stocks situation due to actual export sales and domestic crush usage already above previous targets.
Cash cattle traded $1 to $2 lower so far this week. The break in futures has given the packers the upper hand.
August cattle futures broke the 20 day moving average but should find support at the $148 level. Beef values remain firm with choice up 1.60 and select up 1.26. The CME feeder Index is 214.82.
Lean hog futures continue to see some profit taking and liquidation by funds. Pork cutout values were down .62.
Markets as of 5:30 AM CDT
- Sep Corn +1
- Aug Beans +5
- Sep Wheat + 1/4
- Aug Cattle -.05
- Aug Hogs -.42
- Sep Dlr -.04
- Sep S&P +3.75
- Aug Crude -.38
- Aug Gold -1.50
Chart of the Day
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