Midday in the Markets


Highlights

  • The US Dollar is down .251 points at 97.182.
  • The DJIA is up 4 points at 21,364.
  • Nearby July crude oil is up $0.21 at $44.67 per barrel.
  • President Donald Trump acknowledged today that he is under investigation as part of the probe into alleged Russian meddling in last year’s U.S. presidential race.
  • CHS Hedging will be offering Hedging Classes at the IGH office on June 28 & 29.  Check out our website at www.chshedging.com for more information and registration.

Grains and Oilseeds

  Corn

  • Corn is up 2 ¼ - 2 ¾ ¢.
  • Corn is trading up slightly today, seeing spillover strength from the wheat markets.
  • Chinese corn reserve auctions fared a bit better last night than they did in the mid-week auctions, selling 1.25 million tons of the 2.144 million tons offered. For the week, a total of 1.32 million tons of 2013 reserve corn were sold.
  • Spreads: N/U 7 ¾ ¢ carry, U/Z 10 ¢ carry, N/Z 17 ¾ ¢ carry.

    Beans

  • Soybeans are up ½ - 1 ¢.
  • Soybeans trade is a bit choppy this morning as the market digests a favorable weather outlook for the coming week paired with some bullish sentiment left over from yesterday’s NOPA crush report.
  • Reuters has reported that more than 20 grain cargos in Argentina’s Parana River are stranded as workers strike over wages.
  • Cash river bean bids weakened today as barge shipping costs have risen due to maintenance on the LaGrange lock and dam on the Illinois River.
  • Spreads: N/Q 4 ¼ ¢ carry, Q/U 1 ½ ¢ carry, N/X 9 ¼ ¢ carry.

  Wheat

  • The wheat markets are higher this morning with Chicago up 11 ¾ -12 ¼ ¢, Minneapolis is up 8 – 8 ½ ¢, and KC is trading up 8 ¾ - 9 ¢.
  • Wheat markets continue to rally as weather concerns continue in the Dakotas and Montana. Some precipitation in the central and eastern areas of the Dakotas is expected going into this weekend, but this still leaves a large portion of spring wheat country parched.
  • Reports of hail and rain in the winter wheat country are slowing harvest and causing damage to isolated areas in Kansas and Nebraska.
  • Argentina is seeing delayed planting progress due to rain. This delay is in effect for about 5.5 million hectares. Current Argentinian wheat progress is pegged at 36.6% complete according the BA Grains Exchange.
  • Spreads: N/U Chicago 16 ¢ carry, N/U Mpls 4 ½ ¢ carry, N/U KC 17 ½ ¢ carry.

 

Livestock

  Cattle

  • Cattle markets are mixed this morning with nearby live cattle down $0.275 while deferred months trade up $0.45-0.525. Feeder cattle are trading up $0.875-0.90.
  • Cash markets fell out of bed yesterday, trading down in a range of $126-$127.
  • Packer margins remain strong at around $161.95/head.
  • Boxes are mixed with Choice down $0.71 at $249.74 and Select up $0.64 at $220.53.

  Hogs

  • Lean hogs are up $0.55 nearby and down $0.025 for August with futures at $82.475 and $78.90, respectively.
  • Packer margins are lower today at around $15.35/head.
  • Yesterday’s carcass values were down $0.17 at $94.90/cwt. $0.79 over the 5 day average.