Livesock are mostly lower Monday with grains higher led by soybeans.
Joe Kooima of Kooima Kooima Varilek says grains are seeing support from strong demand and more export business.
USDA reported 5.9 mb or 150,000 metric tons of corn for delivery to Mexico and 4.7 mb or120,000 metric tons of corn for delivery to unknown destinations both during the 2024/2025 marketing year.
Plus, another 4.85 mb or 132,000 metric tons of soybeans for delivery to unknown destinations during the 2024/2025 marketing year.
Kooima says while this may be some front loading ahead of the election he thinks USDA should adjust exports upward in the WASDE on Friday, at least corn.
Cattle futures continue to consolidate with nervousness about the election, heavy weights and sliding boxed beef values.
However, Kooima says the market should be well supported by steady cash and the futures discount, as well as funds defending their long position which has now hit nearly 99,000 contracts.
Lean hog futures saw some early consolidation and bear spreading but deferred contracts easily rebounded into new contract highs.
Funds are near to record long at nearly 103,000 contracts and have been buying on the dips pushing prices to levels not seen since 2013 and 2014.
Kooima says it seems to be a combination of strong demand, especially exports to Mexico, and tighter than expected supplies.
