CORN
- Mar up 2 @ 5.36 & Dec down 1 @ 4.41
- Central Argentina received significant rainfall last night
- Daily export sales of 1.7M mt of corn to delivery to China & 213K mt to unknown
- Argentina truck strike continues to slow supplies to the ports
- China import demand for corn & ethanol could tighten stocks more than expected
- Weekly export sales 1.850M up 29% from last week
SOYBEANS
- Mar down 16 @ 13.58 & Nov down 11 @ 11.38
- Weather continues to improve in Brazil – rains continue to slow harvest pace
- Brazilian truckers say they will go on strike as of Monday, Feb 1
- Weekly export sales of 466K mt – down 74% from last week
- A wave of profit-taking hit the soybean market mid-morning
- Weak export numbers may be weighing on prices today
- Aggressive price rationing will need to take place to keep ending stocks from complete depletion in US
WHEAT
- Mar down 6 @ 6.52, KC Mar down 4 @ 6.32, & Mar MNPLS down 6 @ 6.35
- Sufficient snow/crop protection expected for US Plains prior to bitter cold next week
- Weekly export sales of 380.5K mt up 15% from last week
- Paris milling futures lower today pulling on US wheat prices – along with a decline in corn
- Russian export tax finalized in hopes of stabilizing record-high food prices
CATTLE
- Feb LC down 0.30 @ 116.15 & March FC up 0.20 @ 140.27
- It will be harder to rationalize big premiums with production
- Net export sales 28,800 mt – increases primarily for Japan
- January feeder cattle last trading day today, Thursday 1/28
- Today’s slaughter est. at 119K head
- Cash developed around 113 for LC & @ 134.96, up 0.48 for 1/26 for FC cash index
- O/I: -1447 contracts for Feb LC & O/I: -439 contracts for Jan FC
HOGS
- Feb Hogs down 0.25 @ 70.32 & Feb Pork Cutout down 1.00 @ 82.45
- June hog key reversal – outside-day down bearish technical development
- Net export sales of 52,900 mt – increases primarily for Mexico & China 2nd
- Hog slaughter estimated at 494K head
- Cash lean index @ 66.23 up 0.35, for 1/26
- O/I: -2686 positions for hogs & pork cutout futures +6 positions
Author
Amberlee Bratcher