Afternoon Market Highlights
6/7/2019 3:47:31 PM
- CHS Hedging will be offering an Energy Risk Management class on June 19th, Grain Hedging classes on June 25th, and Introduction to Technical Analysis on June 26th.
- Lean hogs will have expanded limits of $4.50 per cwt on Monday, June 10th.
- First notice day for June live cattle is Monday, June 10th. Last trading day for June lean hogs’ futures AND options is Friday, June 14th.
Corn traded lower today heading into the weekend. Continuing tensions between the U.S. and Mexico have not been friendly to corn, as Mexico is a large importer of U.S. corn. Additional pressure could stem from jitters ahead of the crop progress report Monday, as conditions for corn will be reported.
- Trade estimates for Tuesday’s corn yield are 172.4 bushels per acre and the US corn production number is estimated at 14.251 billion bushels. US ending stocks are pegged at 2.123 billion bushels for old crop and 1.917 billion bushels for new crop. World ending stocks are pegged at 325.44 mmt for old crop and 304.96 mmt for new crop.
- The CFTC COT showed that the speculators are now net long 65,000 contracts of corn.
- Closes: July at $4.15 ¾ down 4 ¾; September at $424 ¼ down 5 ¼; December at $4.33 ¾ down 4 ¾; March at $4.42 ¼ down 4 ¼.
- Spreads: N/U 8 ¼ cent carry; U/Z 9 ½ cent carry, N/Z 18 cent carry; Z/H 8 ½ cent carry.
Soybeans traded lower today as the forecast shows improving conditions for many. Additional pressure could be coming from Tuesday’s WASDE, as the report may not provide the bullish numbers we’ve been expecting. The USDA generally adjusts their forecasts slowly, rather than abruptly.
- Trade estimates for Tuesday’s soybean yield are 49 bushels per acre, and the US production is estimated at 4.123 billion bushels. US ending stocks are estimated at 100.4 billion bushels for old crop and 983 million bushels for new crop. Estimates for world ending stocks are 113.33 mmt of old crop and 112.99 mmt of new crop.
- The CFTC COT showed the speculators are now net short 108,200 contracts of soybeans.
- Private exporters announced the sale of 110,000 metric tonnes of soybeans to Egypt, with 55,000 tonnes for the current marketing year and 55,000 tonnes for new crop.
- Closes: July at $8.56 ¼ down 12 ½; August at $8.63 down 12 ¼; November at $8.83 down 12 ¼; January at $8.96 1/2
- Spreads: N/U 13 ¾ cent carry; U/X 13 ¼ cent carry; N/X 26 ¾ cent carry; X/F 13 ¼ cent carry.
Chicago and Kansas City wheat traded lower today following yesterday’s large gains. Today’s downside slip was likely due to profit taking. Minneapolis wheat traded higher for the front months, but the deferred contracts were lower. The strength in Minneapolis was likely aided by the dryness in Canada, a large spring wheat producer.
- Trade estimates for Tuesday’s US wheat production is 1.883 billion bushels for all types of wheat. US ending stocks are estimated at 1.121 billion bushels of old crop and 1.118 billion bushels of new crop. The world ending stocks estimates are 247.70 mmt of old crop and 290.00 mmt of new crop.
- The CFTC COT showed the speculators are now net short 56,700 contracts of Chicago wheat and net short 24,900 contracts of Kansas City wheat.
- July Closes: Chicago at $5.04 1/2 down 5 1/2; Kansas City at $4.48 down 7 1/4; Minneapolis at $5.69 up 3 3/4.
- Spreads: Chicago N/U 5 cent carry; Kansas City N/U 13 ¼ cent carry; Minneapolis N/U 8 ¾ cent carry.