In a normal market environment this would be a very bullish Cattle on Feed report, unfortunately we are in anything but a normal environment, so it’s taken with a grain of salt.
Rumors have been swirling that China was in the market for some big corn purchases. That, coupled with today’s option expiration has provided support in prices over the last few sessions.
Corn futures manage to rally into the weekend, only to give it up in the Sunday night/Monday morning trade. Friday’s COT) report showed funds holding a net short position of 137,571 contracts.
Livestock markets were all over the place yesterday as rumors of additional plant disruptions circulated, ultimately leading to selling pressure in the final minutes of the session.
While market participants see nothing but bad news while the market is closed, we were able to chew through that bearish sentiment and saw a more constructive trade yesterday.
