Corn and soybeans close way off their highs. Friday July 29, 2022

After starting out the trade very strong today, we did see corn and soybeans come off their highs. Going into the weekend we saw some selling of new crop.

September corn was up 1¢ with December corn up 1¢. August soybean futures were nearly 28¢ higher with November beans up 28¢. September Chicago wheat closed down 9¢. September Kansas City wheat closed down 15¢. September Minneapolis wheat closed down 22¢.

Livestock prices closed the day higher. Live cattle futures were up 27¢ on the August contract. August feeder cattle closed up $1.15. July lean hog futures closed the day $1.52 higher. The livestock market closing higher today was very positive, especially in the feeder cattle market and live cattle market. The consumer seems to feel a little better about the economy this week and that is supporting the meats.

Crude oil is up $2.18, and the Dow futures are 358 points higher.

Soybeans this week not only got support from the weather, but we are also hearing the Argentine farmer is not selling soybeans due to inflation concerns. The Argentine farmer would rather have soybeans in the bin versus pesos in the bank in their high inflation.

Weather models are possibly talking some rain now at the end of next week and that would be a welcome sight. We are still very much in a weather market, so keep a close eye on the weather this weekend. Sunday night is sure to be volatile again.

At mid-day September corn is trading 9¢ to 10¢ higher with December corn trading 10¢ to 11¢ higher. August soybean futures are trading 46¢ to 47¢ higher with November soybeans trading 36¢ to 37¢ higher. Chicago wheat is 4¢ to 5¢ higher, Kansas City wheat is 1¢ to 2¢ higher, and Minneapolis wheat is 5¢ to 6¢ lower. The Wheat Quality Council wrapped up their spring wheat tour and estimated the North Dakota spring wheat crop at the second highest on record.

Livestock prices are still mixed. Live cattle are 2¢ higher, feeder cattle are 65¢ lower, and lean hog futures are $1.52 higher.

Crude oil is up $4.46 and the stock market is up 50 points.

Next week look for crop ratings on Monday to be stable to maybe down 1% in the good to excellent ratings. We are pricing in a lower yield already, so to keep this market pushing higher we will need to keep feeding it with bullish information.

September corn futures are 12¢ to 14¢ higher. August soybean futures are 37¢ to 39¢ higher. September Chicago wheat is 15¢ to 16¢ higher. September Kansas City wheat futures are 15¢ to 16¢ higher. September Minneapolis wheat futures are 10¢ to 11¢ higher.

Livestock prices are mixed this morning. Live cattle are 5¢ higher. Feeder cattle are $1.17 lower, and lean hog futures are 40¢ higher. Cash lean hog prices are pulling back. High pork prices seem to be curbing demand, and export sales the past few weeks have been disappointing. Feeder cattle are under a little pressure with corn prices being higher.

Crude oil is up $3.38 this morning, and the stock market is down 12 points to start off today’s trade.

Weather maps are still calling for a hot and dry forecast for the first 10 days or so of August. The big questions will be how hot we get, where the heat dome sets up, and how long it lasts. There are some weather models suggesting we may see some rains during the second week of August, so the market will remain volatile.

The weekly Crop Progress report next week will likely show crop ratings stable if not down 1% to 2%. With the current supply and demand situation in the U.S. relatively tight on both corn and soybeans, we need to have a trend line yield of 177 bushels per acre on corn and 51.5 bushels per acre on soybeans.

Tags: live cattle, feeder cattle, corn, животноводство, soybean, wheat, lean hog, futures