Afternoon Market Highlights


Highlights

  • The markets will be closed Friday in observance of Good Friday, and CHS Hedging will not be staffed. Trading will resume on Sunday at 7:00 PM CT.
  • The United States won in a WTO ruling against China regarding their trade restrictions on agricultural imports. The case was filed at the end of 2016.
  • The Commitments of Traders report will be released as usual at 2:30 PM CT on Friday.

Corn

Corn traded in a narrow range today ahead of the holiday weekend, with most contracts closing the day within a penny of where they started. The May corn contract lost 2 ½ cents this week, and closed below its 10-day moving average of $3.60 ½. The weekly crop progress report will be released on Monday, with corn plantings estimated between 5 and 10%.

  • Export sales were 947,600 metric tonnes, which was above the estimates of 500,000 to 850,000 tonnes.
  • Closes: May at $3.58 ½ up ¼; July at $3.67 ¼ up ¼; September at $3.75 unchanged; December at $3.86 ¼ down ½.
  • Spreads: K/N 8 ½ cent carry; N/U 7 ¾ cent carry; N/Z 19 ¼ cent carry; Z/H 14 cent carry.

Oilseeds

Soybeans traded both sides of the board today before closing higher. The rise in pricing today can be attributed to position squaring before the extended weekend. May soybeans lost 14 ½ cents this week, and closed below their 10-day moving average of $8.93 ½. Monday’s crop progress report is expected to have soybeans planted for the first time this growing season.

  • Export sales were 382,100 for soybeans, near the low end of the trade estimates of 350,000 to 800,000; 295,400 for soymeal which was above the trade estimates of 125,000 to 325,000 tonnes; 24,300 for soy oil which was within the estimates of 8,000 to 30,000.
  • As of Wednesday, May 1st the daily price limit for soybeans will be increased to 65 cents per bushel, and the expanded price limits will be $1.00 per bushel.
  • Closes: May at $8.80 ½ up 1 ½; July at $8.94 ¼ up 1 ¾; August at $9.00 up 1 ½; November at $9.13 ½ up 1 ¼.
  • Spreads: K/N 13 ¾ cent carry; N/U 10 ½ cent carry; N/X 19 ¼ cent carry; X/F 10 ¼ cent carry.

Wheat

The wheat market traded on the defensive with Mpls hovering 3-7 cents above recently made contract lows. The KC Sep & Dec made new contract lows today. Global supplies remain high and export competition remains stiff. South Dakota is working on melting their recent massive snowfall, while southwestern North Dakota and southeastern MT are seeing signs of spring wheat seeding.  Would guess that plantings could be 5-10% complete by next Monday.

  •  May closes: Mpls at $5.23 ¼, down 4 ¼ cents, KC at $4.20, down ½ cent and Chicago at $4.44 ¼, down 2 ¾ cents.
  • Weekly export inspections were 546 tmt, toward the top end of trade estimates of 350-700 tmt.
  • Forecasts call for warmer temperatures over the weekend and into next week.
  • Spreads: Mpls K/N widened back out to 6 ¾ carry, U/Z at 15 ¼ cents. The KC K/N closed at a 6 ¼-cent carry and Chicago K/N at a 4 ¼-cent carry.
  • The annual winter wheat tour begins April 29th, where crop scouts well be out in the fields of Kansas to assess the quality of this year’s HRW crop. CHS Hedging will have someone on the tour.

Livestock

The weekly export sales were 28.8 tmt of beef and 40.3 tmt of pork. Of the pork exports, 23.5 tmt went to China. The hog markets were mixed today, with the front months higher and the deferred lower. The May hogs closed above their 20-day moving average of $87.31. Both feeder and live cattle finished the day mostly higher.  The boxed beef values have remained firm as grilling season is approaching quickly. The cattle on feed report was released today, with the March cattle placements a bit higher than expected.

  • The cattle on feed report said that March cattle marketed were 97%, which was close to the trade estimate of 96.9%, March cattle placements were 105%, above the estimates of 103.4%, and all cattle on feed April 1 at 102%, slightly above the estimate of 101.7%.
  • Feeder closes: May at 151.525 up 1.05; August at $160.675; September at $162.075 up 0.25.
  • Live closes: April at $128.525 up 1.65; June at $122.675 up 0.275; August at $119.75 up 0.325.
  • Lean hog closes: May at $90.20 up 1.15; June at $96.75 up 0.625; July at 100.55 down 0.3.
  • The morning pork product values on 128 loads: carcass cut outs at $86.99 down 0.01; loins at 75.90 down 0.69; ribs at 151.50 up 2.10; hams at 63.91 down 0.74; bellies at 158.72 down 0.36.
  • The morning boxed beef values on 54 loads: Choice at $233.21 up 0.45; Selects at 219.51, down 0.65.