The CME and Total Farm Marketing offices will be closed Monday, January 18, 2021, in observance of Martin Luther King Jr.
CORN
- March down 1 @ 5.32 & Dec up 1 @ 4.58
- US still cheapest corn globally out through May
- Farmers selling with prices being at prices not seen in 7 years
- Despite rains this week, Argentina looks to turn dry afterwards
- Crop expectations drop to 46 mmt compared to USDA’s 47.5 mmt
- Argentina’s crop conditions are 19% good/excellent vs 55% last year
SOYBEANS
- March down 7 @ 14.23 & Nov up 2 @ 11.98
- Palm oil futures falling are spilling over into soybeans today, cause of minor set back
- NOPA will reveal Dec. soy crush at 11:00 today
- S. American weather friendlier for Brazil as much needed rains continue to fall
- China raised soybean imports to a record large 100.3 mmt – 13% higher than last yr
- Funds remain long with roughly 225,000 contracts
- Jan. futures went off the board yesterday at 14.10 3/4
WHEAT
- March down 3 @ 6.66, KC wheat up 2 @ 6.38, and MNPLS up 1 @ 6.49
- Paris milling futures gapped higher again today, initially pulling wheat along
- Rumor that Russia could extent export tax into the next year to try and stabilize prices
- Ukraine’s grain exports are down 18%
- US needs to see export demand increase in following weeks to support bullish sentiments
- IGC reported world wheat stocks are projected to rise to a record high of 309 mt
CATTLE
- Feb LC up .90 @ 112.95 & Jan FC up 2.27 @ 134.87
- Traders look for potential supply tightness & continued active beef demand for spring
- Higher feed prices expected to lighten cattle weights
- Today’s slaughter est. at 115K head
- Cash trade still developing around 108/109 LC & @ 135.05, down .18 for 1/12 for FC cash index
- O/I: -4443 contracts for Feb LC & O/I: +109 contracts for Jan FC
HOGS
- February Hogs up 1.30 @ 67.60 & Feb Pork Cutout up 1.15 @ 78.65
- Trade prepares for 3 day weekend – limiting price movement today
- Increased open interest could spark longer term buyer support next week
- Hog slaughter estimated at 424K & Saturday runs are expected near 287K head
- O/I: -5992 positions for hogs & pork cutout futures -33 positions
Author
Amberlee Bratcher