Markets
Today’s commodity market news. Featuring expert analysis from Michelle Rook, Jerry Gulke and Pro Farmer Editors.
Grains higher on disappointing rains corrective buying, strong soy products, which spilled over into wheat. Cattle see profit taking w/lower boxed beef. While the dollar was down last week. Darin Newsom, Barchart.
Darren Frye of Water Street Solutions says grains slide on favorable weather and the anticipation of the July WASDE report and the possibility of USDA cutting yield.
Despite long-standing trends showing an increase in meat consumption as countries’ incomes rise, a shift seems to be occurring.
We share fresh outlook for the corn market broken down into the next 5, 30 and 90 day segments.
Grains lower on favorable weather but also awaiting supply direction from the WASDE. Cotton closes higher but is still rangebound. Cattle post a strong recovery with lower corn. Darren Frye, Water Street Solutions.
Cattle and hog finishing margins are both positive for the fourth consecutive week despite the fact cash prices for cattle and hogs were slightly lower last week.
Closeouts on cattle and hogs marketed last week remain modestly profitable for the sixth consecutive week, according to calculations by Sterling Marketing.
Average cattle and hog finishing margins are both positive for the third consecutive week, according to calculations in the Sterling Marketing Profit Tracker.
On a percentage basis, beef packer margins declined significantly last week. It’s all relative, of course, since the starting point from the previous week was stunning.
Cash fed cattle prices ended last week $10 per cwt. lower than last year while the beef cutout closed $16 higher than the same week a year ago. The result? Packer margins $314 per head more than last year.
Beef packer leverage is evident with cash cattle prices $7 per cwt. lower than the same week a year ago and beef cutout prices $23 per cwt. higher. Pork producers are gaining leverage with a $5 per cwt. price rally.
Grains lower with wetter extended weather, sluggish exports & awaiting direction from the WASDE. Will USDA make yield adjustments? Cattle bounce on lower corn, while hogs consolidate. Joe Vaclavik, Standard Grain.
Grains mostly lower w/better weather, pre-report positioning awaiting what USDA does with yield in the WASDE. Cattle see a technical bounce w/lower corn, profit taking pressures nearby hogs. Jim McCormick, AgMarket.Net.
AgDay TV Markets Now: Dave Chatterton, Strategic Farm Marketing, says corn ends higher, soybeans lower on profit taking, spread unwinding, correcting the corn/bean ratio. Plus, determining balance sheets pre-WASDE.
The cattle futures markets saw profit-taking pressure today after recent gains.
Corn up, soybeans down w/profit taking, correcting spreads & corn/bean ratio, pre-WASDE squaring. Wheat’s a follower. Cattle fall w/steady-$1 lower cash. Hogs consolidate. Dave Chatterton, Strategic Farm Marketing.
Corn higher, soybeans lower correcting spreads and the corn/bean ratio w/drought concerns. Cattle further consolidate but cash still holding steady. Nearby hogs clear $100. Scott Varilek, Kooima Kooima Varilek.
Grains mixed on spreads and looking ahead to the WASDE for yield and ending stocks direction. Is the cotton market ready to break out technically? Cattle consolidating. Shawn Hackett, Hackett Financial Advisors.
The lawmakers’ primary concern is the risk this plan may pose to rural America due to insufficient EV charging infrastructure.
AgDay TV Markets Now: Don Roose, U.S. Commodities talks about the factors that rallied the wheat market Wednesday, including corrective buying and crop concerns, and why corn and beans faded into the close.
Wheat up on wx, harvest concerns, Ukraine nuclear plant threat. Row crops hold gains digesting acreage & wx. Profit taking hits cattle after new highs, hogs follow higher cash & cutouts. Don Roose, U.S. Commodities.
September SRW futures rose 32 1/2 cents before settling at $6.74 1/4. September HRW futures led the complex higher, rallying 49 3/4 cents before closing at $8.46 1/4.
Wheat up w/dryness concerns in HRS & slow HRW harvest. Corn & beans see profit taking. Feeders make contract highs, live cattle consolidate and hogs follow higher cash, cutouts. Mark Schultz, Northstar Commodity.
Soybeans higher digesting lower acres but end off highs on profit-taking, corn & wheat lower. Feeders make contract highs, LC see profit taking, bull spreads continue in hogs. Chip Nellinger, Blue Reef Agri-Marketing.
With notably smaller soybean acres, weather over the next month will be especially significant.
U.S. consumer sentiment increased 5.2 points (8.8%) in June to a reading of 64.4, according to the University of Michigan’s Surveys of Consumers.
AgDay TV Markets Now: Matt Bennett, AgMarket.Net discusses where ending stocks and prices project to for corn and soybeans after USDA’s shocking shift in acres.
USDA’s June Acreage and Quarterly Stocks reports resulted in a bullish surprise for soybeans and bearish news for corn. In an already volatile grain market, the supply situation is problematic.
Soybeans ended sharply higher with a 4 ma cut so where does that put ending stocks? Corn picked up another 2 ma so will that be offset by yield? Cattle soared on the lower corn. Matt Bennett with Ag Market.Net.
USDA reports had a bullish surprise for soybeans w/around 4 million less acres & lower stocks, but bearish for corn with 94.1 ma. Wheat acreage and stocks slightly lower acreage. John Heinberg, Total Farm Marketing.