Well, the corn market defied a bearish day in the grains as July corn closed up 10 3/4 cents Wednesday, bucking the trend of mostly
lower closes in the grain sector with support from active ethanol demand. September Minneapolis wheat traded down 33 1/4 cents earlier, but finished down just 6 1/4 cents after Tuesday’s rain in the Northern Plains. With census corn exports rising well above weekly inspections, and ethanol production nearing closer to 2019 levels, U.S. corn demand could be ratcheted higher on Thursday’s WASDE report. Funds have been big sellers in the soy complex on Wednesday. The stark losses seen in the soybean market most likely stem from the weakening vegetable markets worldwide, along with rains in the Canadian Prairies helping the canola crop. It isn’t that surprising to see the market cautious ahead of Thursday’s WASDE report.
The Fed Cattle Exchange Auction listed a total of 10,170 head, of which 2,772 actually sold, 1,892 head were scratched from the auction and 5,506 head were listed as unsold, as they did not meet the reserve prices that ranged from $118 to $120. Opening prices ranged from $115 to $119, high bids ranged from $116 to $120. The state-by-state breakdown looks like this: Texas 9,954 total head, with 2,772 head sold at $116-$120, 1,853 head were scratched from the auction and 5,329 head went unsold; Kansas 216 total head, with 39 head scratched from the auction and rest 177 head went unsold. Overall, it was a mixed bag of trade in livestock on Wednesday.
Farm and Ranch Director Jesse Allen has our closing report: https://lightningstream.com/ajax/GetODFile.ashx?call=MIDWEST&fileid=1406
Also, more analysis with Jesse Allen and Mike Zuzolo of Global Commodity Analytics on today’s episode of Market Talk below: