The abrupt turn downward in the grain and soy complex continues following weaker than expected export sales last week. Corn sales were a marketing-year low, while beans and wheat were also meager. Part of that was the extreme cold and China being on holiday. First notice day on expiring March futures is likely playing a role as longs look to exit ahead of delivery. May beans, scoring a new contract high overnight, plunged nearly 26 cents below that high once the meager sales were announced. Demand appears to be shifting to South America on both corn and soybeans. The oilseed markets are beginning to show signs that the bull move may be overdone.
The feeder cattle contracts are rallying while the corn market teeters lower and the live cattle and lean hog contracts are licking their wounds from a lighter export report. There’s been some more cash cattle interest develop as packers are offering $114 in parts of Kansas and Nebraska, but feedlots aren’t interested in seeing the market trade steady again this week.
Farm and Ranch Director Jesse Allen has our full update: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1150