Corn futures broke lower yesterday after failing to find a bullish fundamental catalyst in USDA report. We look to buy with the expectations that we see a technical double bottom and then demand shift by the turn of the year.
U.S and China trade relations are the underlying catalyst but there are a number of themes from Wednesday’s Fed meeting to economic data and drama in Washington that have kept Friday’s post-Nonfarm rally in check.
If you are in December hog futures, you will want to roll by the end of the week, if you have not already. February lean hogs started the week on softer ground but managed to defend the bottom end of the recent range, 65.40-66.50.
Yesterday was a bit of a disappointment for the oil futures bull camp as price action failed to achieve $60 and reversed all early gains. Stock index futures get non-farm payrolls.
February lean hog futures caught a big bid today, erasing all of yesterday’s losses. The market has seen three day stretch of volatility while remaining range-bound, perhaps we see will this setup for a breakout or a breakdown.
