Can Grains Continue Higher & Are Cattle Back?
Presented by Heartland Investor Capital Management Inc. CTA
🌽 Corn
Corn held together after Wednesday’s sharp rally, with Thursday’s pullback amounting to little more than an inside day.
Lower U.S. yield expectations and potential additional European demand remain supportive.
Black Sea disruptions could make Ukrainian corn exports increasingly difficult and push more business toward the U.S.
Technical upside targets are clustering around $5.42-$5.52, with $6 remaining a longer-term objective.
🌱 Soybeans
Soybeans held their breakout above the previous highs and pushed higher again late in the session.
The market continues to price the possibility of lower yields while soybean oil and meal are showing renewed strength.
Near-term resistance is developing around $12.80-$12.85.
The larger upside objective remains in the $13.30-$13.60 area.
🌾 Wheat
Wheat held remarkably well following Wednesday’s limit-up move despite early selling pressure.
Escalating Russia-Ukraine tensions and reduced Black Sea export availability remain the primary bullish catalyst.
Chicago wheat is targeting roughly $8 on the current move.
Kansas City wheat could eventually work toward the $9 area if supply concerns continue to build.
🐄 Live Cattle
Cattle may be approaching a turning point after completing a significant five-wave decline.
Strong cash cattle near $220 makes the discount in deferred futures increasingly difficult to justify.
February cattle appear especially attractive below $215, with recovery potential above $220 and possibly toward $230.
🐂 Feeder Cattle
Feeders remain pressured by Mexican border reopening expectations and rising corn prices.
However, seasonal strength could still produce a fall recovery before larger supplies weigh on prices next year.
November feeders could potentially recover toward $330, while January and March contracts may eventually settle back below $300.
Provided by:
Eugene Graner,
Heartland Investor Capitol Management, Inc., CTA
(A separate entity from Heartland Investor Services)
Past performance is not indicative of future results. The information contained in this report is intended for informational purposes only and is the opinion of the writer and may change at any time. This information was compiled from sources believed to be reliable to Heartland Investor Capital Management, Inc. but accuracy cannot be and is not guaranteed. There is no warranty, expressed or implied, in regards to this information for any particular purpose. There is SIGNIFICANT RISK of LOSS involved in trading futures and / or options on futures and may not be suitable for all investors. Investors should consider these RISKS and evaluate their suitability based on their financial conditions. No one should ever consider trading futures or options on futures with anything other than RISK CAPITAL. NO LIABILITY on the part of the author exists for any trading loss you may incur in the use of this information. The information contained in this newsletter is privileged, confidential and protected from disclosure. Any further disclosure or use, distribution, dissemination or copying of this message or any attachment is strictly prohibited. Provided by Heartland Investor Capital Management, Inc. a registered CTA with the NFA, of which Eugene Graner is principal. This entity is a separate legal entity from the Introducing Broker Heartland Investor Services.