By: NATHAN STUEDLE
GRAINS:
December corn closed up 2 1/4 cents per bushel at $4.07 3/4 and March corn was up 2 1/4 cents at $4.25 1/4. November soybeans closed up 23 3/4 cents at $10.11 1/4 and January soybeans were up 23 cents at $10.29 1/2. September KC wheat closed up 3/4 cent at $5.19, September Chicago wheat was up 1/2 cent at $5.15 0/1 and September Minneapolis wheat was up 1 cent at $5.77 3/4.
An unusual overnight social media post by President Trump requesting that China quadruple their purchases of U.S. soybeans, along with a statement that China was concerned about their shortage of soybeans sent beans and products surging Monday. Whether or not the mere suggestion would lead to a U.S.-China soybean grain agreement remains to be seen, but it had funds covering some of their shorts. Corn and wheat were modestly higher as well.
LIVESTOCK:
Following Friday's tumultuous trade, the live cattle complex scurried back and forth, unsure of what it's supposed to do next. The live cattle contracts traded mixed with a level of uncertainty looming above the marketplace, but all contracts did finish modestly in the green by the closing bell. The market's next support plane lies around $220 in the October contract, and if the market broke below that, it would indeed be a bearish signal for the complex. New showlists appear to be mixed, higher in Kansas and Nebraska/Colorado, but lower in Texas.
Although demand remains red hot in the countryside, the feeder cattle complex continued to trade lower as traders remain unsettled in a technical sense for the bulk of the session, but did manage to finish slightly higher in the nearby contracts by the closing bell. It wouldn't be surprising to see demand slightly softer in the countryside early this week, as buyers would gladly see prices soften given the record highs at which they've currently been.
The lean hog complex ended up trading higher into the closing bell, after chopping sideways for the bulk of the session, as pork cutout values are higher and traders aren't currently pressured by any immediate resistance pressure. The rib (up $5.99), belly (up $5.31) and the picnic (up $5.17) are helping push the carcass price higher more than anything else.