* Money flow has continued to move into the broader commodity sector this morning, providing underlying support for the grain and oilseed markets. The dollar has erased its earlier losses and is modestly higher at this hour, but the major commodity indices continue to see good support after gapping higher early this morning and breaking above areas of chart resistance.
* USDA reports that export shipments in the week ending October 1 totaled 18.5 million bushels of corn (soft), 11.7 million bushels of grain sorghum (good), 41.2 million bushels of soybeans (good) and 20.5 million bushels of wheat (soft).
* Commodity Weather Group notes that 60% of Ukraine and 35% of Russian wheat has “significant moisture shortages cutting back crop development.” It goes on to say that nearly half of the wheat in the region has problems becoming established ahead of dormancy due to cold dry conditions, while 20% is having trouble merely germinating.
* Corn futures are trading 2 cents higher supported by mildly positive chart signals and money flowing into the broader commodity indices of which corn is a part amid expectations of a corn yield drop on Friday when USDA releases its crop report.
* Soybean futures are 9 cent higher as they find buying interest near the bottom of the recent predominant trading range, get a boost from support in the broader commodity sector and see strong export shipments.
* Wheat futures are a penny higher in firm consolidation amid broader market support.
* Live cattle futures are 50 cents weaker this morning on additional losses in the product market and after last week’s weak cash trade.
* Feeder cattle are steady to 30 cents weaker, following the fats.
* Lean hog futures are steady to 60 cents weaker and are testing key chart support for the December contract. Cash hogs are mostly steady and product prices are firmer again this morning, but on slow volume.
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