Afternoon Market Highlights
4/17/2019 3:01:14 PM
- Markets will be closed Friday in observance of Good Friday.
- The Cattle on Feed report will be released tomorrow at 11:00 am CT.
- Last trading day for May options is April 26th and first notice day for May futures is April 30th. This includes corn, soybeans, soy meal, soy oil, Minneapolis wheat, Kansas City wheat, Chicago wheat, oats, and canola.
The corn market traded lower today in sympathy with the soybean market today. Some traders have expressed concern that the wetness in the U.S. could cause planting delays, but this is overshadowed by large grain stocks. May corn closed well below its 10-day moving average of $3.61.
- Weekly ethanol production increased by 14,000 bpd to 1,016,000 bpd. Ethanol inventories were lowered by 500,000 barrels to 22.7 million barrels.
- Trade estimates for this week’s USDA export sales are 500,000 to 850,000 metric tonnes.
- Closes: May at $3.58 ¼ down ¾; July at $3.67 down ¾; September at $3.75 down 1; December at $3.86 ¾ down ¾.
- Spreads: K/N 8 ½ cent carry; N/U 8 cent carry; U/Z 11 ½ cent carry; Z/H 14 cent carry.
The soybean market traded lower again today on increasing South American crop sizes and trade war developments. There have been reports that a trade deal is coming soon, but that has been said before. President Trump continues to say that the deal with China is moving along well. May soybeans closed well below their 10-day moving average of $8.96.
- A private analyst has raised their Brazilian soybean crop forecast from 113.8 mmt to 115.6 mmt.
- Trade estimates for weekly export sales are 350,000 to 800,000 metric tonnes of soybeans, 125,000 to 325,000 metric tonnes of soymeal, and 8,000 to 30,000 metric tonnes of soy oil.
- Closes: May at $8.79 down 9; July at $8.92 ½ down 9 ¼; August at $8.98 ½ down 9; November at $9.12 ¼ down 8 ¾.
- Spreads: K/N 13 ¾ cent carry; N/Q 5 ¾ cent carry; N/X 19 ¾ cent carry; X/F 10 ¼ cent carry.
The wheat markets saw a dead cat bounce today following yesterday’s losses. The bounce today was largely short covering and bargain pricing. The wheat markets are still pressured by the large world stocks, and the winter wheat crop has received good crop ratings thus far.
- Jordan retendered to purchase 120,000 metric tonnes of wheat. The tender deadline is April 23rd, and the shipment periods are for September and October.
- Philippine importers have tendered to purchase up to 220,000 metric tonnes of feed wheat. The tender closes April 17th, with shipment from June through September.
- Trade estimates for the weekly export sales range from 200,000 to 400,000 metric tonnes.
- May Closes: Chicago at $4.47 up 2; Kansas City at $4.21 ¾ up 4 ¾; Minneapolis at $5.27 ¾ up ¼.
- Spreads: Chicago K/N 3 ¼ cent carry; Kansas City K/N 5 ½ cent carry; Minneapolis K/N 4 cent carry.
The cattle markets were mostly stronger today as the cash market remains firm and helps to support the futures prices. April live cattle futures cease trading on April 30th. The hog markets were mixed today, with the front months lower and the deferred mostly higher. Headlines regarding African swine fever continue to circulate, with the market hoping to see Chinese pork imports from the U.S. increasing. May feeder cattle closed slightly above their 10-day moving average of $150.36.
- Feeder closes: April at $145.325 down 0.375; May at $150.60 down 0.375; August at $160.45 up 0.475.
- Live closes: April at $126.925 down 0.10; June at $122.375 up 0.05; August at $119.55 up 0.375.
- Lean hog closes: May at $88.925 down 0.225; June at $96.125 down 0.975; July at $100.625 down 0.625.
- 1,578 head were offered at the Fed Cattle Exchange, with 1,269 head selling at a weighted average price of $127.08.
- Early boxed beef values on 108 loads: Choice at 232.60 up 0.55; Selects at $220.05 down 1.10.
- Early pork product values on 144 loads: carcass cutouts at $88.42 up 1.89; loins at $78.49 up 2.47; ribs at $149.05 up 1.39; hams at $66.13 up 2.20; bellies at $161.47 up 0.49.
- Today’s slaughter is estimated at 121,000 cattle and 477,000 hogs.