Afternoon Market Highlights
4/11/2019 2:41:47 PM
- Markets will be closed April 19th for Good Friday.
- The energy markets were mostly lower today, with crude oil trading at $63.61, down 1.00.
- Last trading day for April lean hog futures and options is tomorrow, April 12th.
Corn traded lower today on spillover weakness from soybeans, as well as a disappointing export sales number. The U.S. dollar was stronger today as well, which makes U.S. corn less competitive globally. The May contract closed below its 10-day moving average of $3.61.
- Export sales were 548,000 metric tonnes, which was below the trade estimates of 600,000 to 950,000 metric tonnes.
- Closes: May at $3.60 down 1 ¾; July at $3.68 ¾ down 2; September at $3.76 ¾ down 2 ¼; December at $3.88 ½ down 2 ¼.
- Spreads: K/N 8 ½ cent carry; N/U 8 cent carry; U/Z 11 ½ cent carry; Z/H 13 ¾ cent carry; Z/N 27 ¾ cent carry.
Soybeans traded lower following a very disappointing export sales report. The weekly export number was over 500,000 metric tonnes below the trade estimate. Soy meal and soy oil followed beans lower. The South American crop also continues to thrive with higher than expected yields, which helps to push down U.S. prices. May soybeans closed below their 10-day moving average of $8.98.
- Export sales were 270,400 metric tonnes of soybeans, below the trade estimates of 800,000 to 1,150,000 metric tonnes; 152,100 metric tonnes of soy meal which was within the estimate 100,000 to 300,000; 33,800 metric tonnes of soy oil which was above the trade estimates of 8,000 to 30,000.
- Egypt purchased approximately 59,500 metric tonnes of soy oil and 53,500 metric tonnes of sunflower in an international tender for June delivery.
- Buenos Aires Grain Exchange has raised their Argentine soybean crop estimate from 53 mmt to 55 mmt.
- May soy oil closed at 28.98, down 0.09 and May soy meal closed at $307.20 down 2.90.
- Closes: May at $8.95 ¼ down 6 ¾; July at $9.08 ¾ down 6 ½; August at $9.14 ½ down 6 ½; November at $9.28 ¼ down 6 ¼.
- Spreads: K/N 13 ¼ cent carry; N/Q 5 ½ cent carry; N/X 19 ¼ cent carry; X/F 10 cent carry; X/N 32 cent carry.
Minneapolis spring wheat closed higher again today, as the spring wheat states were hit by an April snow storm. There is concern that the snow storm could delay planting. Kansas City and Chicago wheat were higher today, likely due to short covering. May Minneapolis closed below its 10-day moving average of $5.34 ½, May Chicago closed below its 10-day moving average of $4.63 ¾, and May Kansas City closed below its 10-day moving average of $4.32.
- Exports were 273,000 metric tonnes, which was below the trade estimates of 300,000 to 500,000 metric tonnes.
- Philippine importers purchased approximately 50,000 metric tonnes of feed wheat that was likely sourced from the Black sea region.
- Algeria purchased approximately 330,000 metric tonnes of million wheat in a tender with a price of around $239 per metric tonne. It was thought to be sourced from the U.S. and France.
- May closes: Chicago at $4.60 ½ up 2 ½; Kansas City at $4.31 ½ up 5 ¼; Minneapolis at $5.33 up 3.
- Spreads: Chicago K/N 4 ¾ cent carry; Kansas City K/N 7 cent carry; Minneapolis K/N 5 ¾ cent carry.
The livestock markets closed mostly higher today. Hogs traded limit up this morning after a very large weekly export sales number of 90,700 metric tonnes of pork, with 77,700 metric tonnes going to China. Hogs came down from their early morning highs, and will not have expanded limits tomorrow. Cattle were higher today as the boxed beef values remained firm. The weather also presents a concern to cattle as the weather remains poor. May hogs closed above their 10-day moving average of $86.730, May feeders closed below their 20-day moving average of $150.005, and June live cattle closed below their 20-day moving average of $120.98.
- Feeder closes: April at $145.50 up 0.325; May at $149.925 up 0.70; August at $157.75 up 0.725.
- Live closes: April at $126.10 up 0.225; June at $120.675 up 0.725; August at $117.55 up 0.55.
- Lean hog closes: April at $79.175 up 0.275; May at $87.875 up 0.9; June at $97.00 up 0.55.
- Weekly export sales were 90,700 metric tonnes of pork and 11,700 metric tonnes of beef.
- A private analyst has predicted that Chinese 2019 pork production will fall 30% following the African swine fever outbreak.
- AM boxed beef values on 72 loads: Choice at $228.96 down 0.09; Selects at $219.85 up 0.23.
- AM pork product values on 114 loads: carcass cutouts at $83.72 down 0.22; loins at $73.48 up 1.06; ribs at $138.06 up 4.33; hams at $62.01 down 2.00; bellies at $156.14 down 0.11.
- Today’s slaughter is estimated at 111,000 cattle and 429,000 hogs.