Grains firmer this morning on outside market improvement.
The last trading day before Christmas weekend shows thinning volume as many traders take this time of year off. However, the South American weather market will remain. Forecasted rain over the weekend for Argentina remains, we will monitor the effectiveness of the rains and determine price direction after the weekend.
Argentina corn crop is 52% planted and Brazil soybean crop is 61% planted. The current conditions of those planted crops are 15% GD/EX on corn and 13% GD/EX on soybeans. It is early yet to start declaring a crop failure, rains in January that have been forecasted would keep the record crop potential relevant.
Outside markets are on the move this morning with crude nearing the $80/barrel mark again. Equity markets showing a slight reversal as well, pulling grains higher this morning after such a negative day yesterday amid new China covid cases plaguing the country and plugging up hospitals.
Its been a favorable week for the cattle markets. Firmer outlook today is probable given the fundamentals being experienced recently. Many feeder months marked new fall highs along with the live cattle market. Cash cattle trade showed quotes of $155 on lives with dressed at $249. Expect a quieter trade today overall with position taking before the cattle on feed report.