Afternoon Market Highlights


Highlights

  • Sources indicate the major Keystone XL pipeline running through Montana has been paused for completion by a Montana Judge. This could delay operations on phase 4 of the project that was supposed to be completed in 2019.
  • As of 2:40pm, the U.S. $ is higher, the Argentine Peso is down 0.19% at 35.37 and the Brazil Real is down 0.70% at 3.73.
  • Veterans Day will be observed next Monday, November 12th pushing the Export Inspections and Crop Progress reports to Tuesday at 10:00am and 3:00pm CST respectively. Grain markets will continue to trade on Monday. 

Corn

  • Corn prices settled lower from technical selling on the day. Harvest progression could slow down as snow hits many parts of the upper Midwest and corn belt.
  • December corn settled just above the 100-day moving average of $3.67½. December corn only fell 1½c since last Friday, rebounding back yesterday from the decrease in yield and US carryout.
  • December corn closed down 3¾c at $3.69¾, July closed down 3¼c at $3.96 and December 2019 closed down 2¾c at $4.02½.
  • Spreads: Z/H 11¾c carry, Z/K 19¾c carry, Z/N 25¾c carry. 

Oilseeds

  • The soybean market finished higher as discussions with China commenced in D.C. today. The next set of talks are scheduled with President Trump and President Xi for the G-20 Summit at the end of this month in Argentina.
  • January soybeans rose 7¾c to $8.86¾. January beans only lost a penny on the week as bean yield was cut but offset by the continued lack of exports.
  • November soybeans closed up 7¾c at $8.75¼, July closed up 8¼c at $9.26½ and November 2019 closed up 5¼ c at $9.36½.
  • Spreads: X/F 11½c carry, X/H 24½c carry, X/K 37¾c carry, X/N 50¾c carry. 

Wheat

  • The wheat market continues to struggle over concerns of exports falling short of expectations for the year. The world wheat carryout was a crucial factor to this equation as it increased to 266.71 mmt, up 6.53 from Octobers WASDE report.
  • December Chicago wheat lost four of the last five sessions, holding just above the $5.00 level.
  • December Minneapolis wheat dropped 7c on the week. The December value continues to gap further from the 50-day moving average of $5.82.
  • December Kansas wheat fell the past three consecutive sessions, losing 19½c in total. The next level of support is at $4.84½.
  • December Chicago wheat fell 5¾c at $5.02, Minneapolis December wheat decreased 6¾c at $5.73¼, and Kansas December wheat settled 9¾c lower at $4.87½.
  • Spreads: MWE Z/H 3¾c carry, KW Z/H 22¼c carry, CW Z/H 12c carry. 

Livestock

  • Reports show regulations are tightening as Sichuan province in central China are restricting transportation of hogs and imports of pork products.
  • Hog prices were mixed at the close. December hogs climbed the past three sessions but were not able to overcome the limit down losses back on November 6th. December hogs lost $2.32½ since last Friday.
  • December lean hogs rose 17½c at $55.80 and February decreased 62½c at $59.50.
  • Live and feeder cattle fell on the day. December live cattle had a poor week as they lost $2.50 week on week. December live cattle tread just above the 200-day moving average of $114.27. November feeder cattle took a hit as they lost $3.50 on the week. November feeders were unable to hold above the 200-day moving average as they lost another $1.17½ on the day.
  • December live cattle closed down $1.97½ at $114.57½, while November feeder cattle closed down $1.17½ at $149.00.
  • Today’s estimated hog and cattle slaughter are 473,000 and 114,000 respectively.