AgriCharts Market Commentary

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Corn

Corn futures are showing most contracts fractionally mixed, being helped by an export sale announcement this morning. The USDA reported a private export sale of 114,572 MT of corn split between 17/18 (55,000 MT) and 18/19 (59,572 MT) to unknown destinations. Weekly EIA data showed that ethanol production dropped 28,000 barrels per day in the week of 8/10 to 1.072 million bpd. Stocks of ethanol were reported at 23.017 million barrels, up 94,000 barrels from the previous week and the largest stockpile since mid-March. Celeres estimates that corn production in Brazil will total 104.1 MMT in 18/19 on increased acreage from larger second crop following soybeans.

Sep 18 Corn is at $3.61 3/4, down 1/2 cent,

Dec 18 Corn is at $3.76 1/4, down 1/4 cent,

Mar 19 Corn is at $3.87 3/4, down 1/4 cent

May 19 Corn is at $3.95, up 1/4 cent

Soybeans

Soybean futures are trading 7 to 9 cents in the red at midday. Rain in the Corn Belt is getting the blame. Nearby soy meal is down $5.90/ton, with soy oil 36 points lower. This morning’s NOPA report showed members crushed the second largest total ever during July, only behind March 2018 at 167.733 mbu. That was well above estimates that had the number pegged at 161.745 mbu, with a 5.34% jump from June and up 15.9% from July 2017. Stocks of soy oil were slightly lower than June at 1.764 billion pounds at the end of July, which came in under most expectations. Brazil consultant Celeres estimates that the country’s soybean acreage will grow by 3.1% in 18/19 to 89.45 million acres. They also expect the country to produce 119.6 MMT of soybeans. China sold 127,270 MT of 2013 soybeans from state reserves on Wednesday, totaling 42.12% of the amount offered.

Sep 18 Soybeans are at $8.59 1/2, down 8 3/4 cents,

Nov 18 Soybeans are at $8.71, down 8 3/4 cents,

Jan 19 Soybeans are at $8.83, down 8 3/4 cents,

Mar 19 Soybeans are at $8.94 1/4, down 7 3/4 cents,

Sep 18 Soybean Meal is at $329.90, down $5.90

Sep 18 Soybean Oil is at $27.92, down $0.36

Wheat

Wheat futures are posting 9 to 11 cents losses in most contracts at Wednesday’s midday. Pressure is from a strength in the US dollar. Rains over the last 24-hours are helping to build up soil moisture ahead of winter wheat planting. The weekly Export Sales report will be released on Thursday morning at 7:30 a.m. CDT. US SRW FOB prices are now below Russia, though they do benefit from cheaper freight prices.

Sep 18 CBOT Wheat is at $5.31 1/4, down 10 1/2 cents,

Sep 18 KCBT Wheat is at $5.35, down 10 3/4 cents,

Sep 18 MGEX Wheat is at $5.85 3/4, down 10 1/2 cents

Cattle

Live cattle futures are up 40 to 50 cents in the nearby contracts. Feeder cattle futures are 45 to 67.5 cents higher. The CME feeder cattle index was down 48 cents from the previous day on 8/13, at $150.64. Wholesale boxed beef values were mixed on Wednesday morning. Choice boxes were up 74 cents at $210.38, while Select boxes were 58 cents lower at $200.69. USDA FI cattle slaughter was estimated at 237,000 head through Tuesday. That is even with the previous week and 5,000 head above the same week in 2017. Wednesday’s FCE saw no sales on the 488 head offered, with lots offered at $110 and no bids reported. Bids of $108 are being shown across most of the country at midday.

Aug 18 Cattle are at $108.425, up $0.450,

Oct 18 Cattle are at $109.125, up $0.400,

Dec 18 Cattle are at $112.850, up $0.425,

Aug 18 Feeder Cattle are at $149.375, up $0.450

Sep 18 Feeder Cattle are at $149.350, up $0.675

Oct 18 Feeder Cattle are at $149.425, up $0.525

Lean Hogs

Lean hog futures are showing slight 7.5 to 15 cent gains in the front months. The CME Lean Hog Index was down $1.47 on August 13, to $56.81. The USDA pork carcass cutout value was down $1.09 from the previous day at $68.65 on Wednesday morning. The loin, ham, and belly primal cuts were all lower. The national base hog carcass value was down 74 cents in the Wednesday AM report, with the weighted average @ $42.04. USDA estimated weekly hog slaughter at 935,000 head through Tuesday. That is up 87,000 head from last week as the plants are back online, and 38,000 head above the same week last year.

Oct 18 Hogs are at $52.000, up $0.150,

Dec 18 Hogs are at $48.725, up $0.075

Feb 19 Hogs are at $55.375, up $0.150

Cotton

Cotton futures are trading 180 to 220 points in the red at midday. Crude oil is currently $2.10/barrel lower on the day, pressuring the market. Weekly export sales will be updated tomorrow, with the first full week in the 18/19 MY being shown. Carry over from last year puts total export commitments already 38.7% larger than a year ago as of last week’s report, with 19/20 commitments at 1.328 million RB. The Cotlook A index was down another 250 points from the previous day at 92.75 cents/lb on August 14. The weekly AWP, currently at 79.67 cents/lb, will be updated on Thursday afternoon.

Oct 18 Cotton is at 81.21, down 220 points,

Dec 18 Cotton is at 80.89, down 215 points

Mar 19 Cotton is at 81.16, down 198 points

May 19 Cotton is at 81.600, down 182 points


Market Commentary provided by:

Brugler Marketing & Management LLC
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Phone: 402-697-3623
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