DTN's Quick Takes

By DTN Analysts

Grains

Posted 10:35 -- September corn is up 5 1/2 cents, August soybeans are up 5 cents, September K.C. wheat is up 15 1/2 cents, Chicago September wheat is up 17 1/2 cents and Minneapolis September wheat is up 13 cents. Wheat markets remain the star of the day, as higher trading is a result of ongoing hot and dry weather in the EU and the continued downgrading to Australia's wheat crop due to drought. Last week, the International Grains Council confirmed this by forecasting global wheat production will fall to a five year low. Corn and soybeans remain firm and the market is starting to wonder if China will return to the U.S market regardless of the tariff as their supplies dwindle. The U.S. dollar is weaker, down 0.379.

Posted 08:35 -- After the open, September corn is up 5 cents, August soybeans are up 6 cents, September K.C. wheat is up 14 cents, Chicago September wheat is up 12 1/4 cents and Minneapolis September wheat is up 12 3/4 cents. Wheat markets continue to lead the way as the EU and Black Sea values move higher due to the dry conditions there, along with support from a sharply higher start to the Paris milling futures this morning. Corn and soybeans found support in the dry conditions seen over the weekend, but rains are expected to return in the coming week. The lower U.S. dollar, down 0.224 is also adding support to the markets.

Posted 7/29 at 19:05 -- On Sunday evening, December corn is up 3 1/2 cents, November soybeans are up 9 3/4 cents and September K.C. wheat is up 8 1/4 cents. Areas around Kansas and Missouri received rain over the weekend, but most of the Midwest was dry with moderate summer temperatures. The eastern Midwest is expecting rain the next few days, but there is not much else in the seven-day outlook. Outside markets are quiet with the September U.S. dollar index down 0.01, August gold down 80 cents and September crude oil is up 25 cents a barrel.

Livestock

OMAHA (DTN) -- Narrowly mixed price shifts are seen in lean hog futures midday following moderate to wide shifts in either direction. Lean hog futures are trading 22 cents lower to 30 cents higher as very limited direction is seen through the complex with traders focusing on the ability to bring additional volume and direction to the complex before the end of the month. It is expected that trade will remain sluggish during the last hour of trade, as well as into the Tuesday session. Cattle markets, on the other hand, are under pressure due to the fact that early buyer support quickly eroded and opened the gate for additional liquidation. Firm gains in grain markets have also limited interest in the cattle complex due to the increased cost of production.

Posted 10:30 -- Triple-digit losses have developed in cattle futures with feeder cattle markets leading the complex lower Monday morning. Losses in nearby feeder cattle trade have posted losses of $1 to $1.50 per cwt as traders seem to remain concerned about the ability to sustain any sense of market support that developed through the month of July. Strong grain market rallies seen Monday has also pulled back any interested buying in the cattle market. Lean hog futures remain mostly higher with prices 20 cents lower to 55 cents higher as most of the fall and winter contracts are holding firm gains. However, the pullback from early morning highs is causing some cautiousness to move into the complex.

Posted 09:29 -- Cattle futures have slowly backed away from initial morning gains with the 5 to 20 cent losses seen in feeder cattle trade setting the tone for the complex and limiting the support expected to develop in live cattle trade. Cattle markets are likely to hover within a narrowly mixed trading range through most of the session as increased moves may continue to be seen through the next few days, especially due to end of the month adjustments. Hog markets are holding firm gains with October contracts near $1 per cwt higher in the first hour of trade. This has helped spark some underlying support in all futures contracts, with additional support likely to develop over the near future.

(BE)

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