Corn futures continue to be the upside leader in the ongoing bull move. The forecast for the next 10 to 15 days appears to be warm to hot and barren of moisture in the key central Brazil safrinha corn areas, leading to sharply lower production estimates. An indication of crop yield declines can be found with the condition rating in Parana which has fallen to 28% good to excellent with a poor rating of 27%, up 9 points. Stone X the latest group to drop production estimates, with a 100.5 mmt estimate for Brazil corn — 8.5 mmt under WASDE. Soybeans and soy oil are also rising on slim stocks and surging domestic and world demand. Spot soy oil futures reached the highest level since 2008.
With the corn complex jumping higher in their nearby contracts, the cattle contracts can’t summon any trader interest. There’s been some cash cattle trade develop for steady prices in the North and steady to $1.00 higher in the South. However, futures turned lower again with some triple digit losses today. Lean hogs continue to push their way higher as we test resistance levels around $111-113.
Farm and Ranch Director Jesse Allen has the closing report: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406
Also, listen to analysis with Jesse and Jim McCormick of AgMarket.net on today’s episode of Market Talk below: