AgriCharts Market Commentary

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Corn Market Commentary

Corn futures are showing fractional to 1 1/4 cent gain in the front months on Wednesday. The weekly EIA report indicated that ethanol plants produced 1.051 million barrels per day during the week of 9/14. That was up 31,000 bpd from the week prior. If plants are taking downtime, it is hard to see in the numbers. Stockpiles of ethanol were shown at 22.746 barrels, cutting 148,000 barrels from the previous week. Gulf stocks were up 501,000 barrels, with the East Coast down 592,000. A couple more South Korean buyers purchased 123,000 MT of optional origin corn on Wednesday, following purchases of 134,000 MT on Tuesday.

DEC 18 Corn closed at $3.44 1/4, up 1 cent,

MAR 19 Corn closed at $3.56 1/2, up 1 cent,

MAY 19 Corn closed at $3.65 1/4, up 1 1/4 cents

JUL 19 Corn closed at $3.71 1/2, up 3/4 cent

Soybeans Market Commentary

Soybean futures are mostly 10 to 12 3/4 cents in the green at midday, taking back Tuesday’s losses. Soybean meal is up $5.60/ton, while soy oil is 11 points higher. The National average cash price according to DTN was $7.12 on Tuesday evening. That would put the national basis at -1.02, nearly 32 1/2 cents below last year at this time. According to a Stats Canada survey, canola production for 2018 is expected at 21 MMT, down 1.33 MMT from 2017 production. China sold 92,988 MT of 2013 soybeans from an auction of state reserves on Wednesday.

NOV 18 Soybeans closed at $8.24 3/4, up 10 3/4 cents,

JAN 19 Soybeans closed at $8.40 3/4, up 12 3/4 cents,

MAR 19 Soybeans closed at $8.54 1/4, up 12 3/4 cents,

MAY 19 Soybeans closed at $8.67 1/2, up 12 3/4 cents,

OCT 18 Soybean Meal closed at $306.40, up $5.90,

OCT 18 Soybean Oil closed at $27.20, up $0.08

Wheat Market Commentary

Wheat futures are trading 10 to 11 cents higher in most CBT and KC front months, with MPLS up 5 to 6 1/2 cents. A Stats Canada survey showed expected all wheat production at 31.02 MMT for 2018, up 1.04 MMT from the production total in 2017. Durum accounted for 0.75 MMT in that jump at 5.71 MMT in 2018. Global buying interest has really picked up in recent days, notably in North Africa and extending over to Saudi Arabia and now Turkey. Syria purchased 200,000 MT of Russian wheat in a tender this week.

DEC 18 CBOT Wheat closed at $5.21 1/2, up 11 cents,

DEC 18 KCBT Wheat closed at $5.26, up 10 cents,

DEC 18 MGEX Wheat closed at $5.86 1/2, up 6 1/4 cents

Cattle Market Commentary

Live cattle futures are currently 25 to 45 cents lower in the nearby contracts. Feeder cattle futures are steady to 65 cents in the red. The CME feeder cattle index September 17 average was up 24 cents at $153.62. Wholesale boxed beef values were lower on Wednesday morning. Choice boxes were down 23 cents to $205.06, while Select boxes were $1.23 lower at $194.24. USDA estimated FI cattle slaughter at 234,000 head through Tuesday, on revised Monday slaughter (-5,000 hd). That is down 4,000 from last week but 5,000 head above the same week in 2017. This morning’s FCE auction saw no sales on the 528 head offered, with asks around $111-111.50. Analysts are expecting (Reuters survey) that the USDA will show August placements of 2.013 million head on Friday up 4.4% from last year, with marketings during that month up 0.4% at 1.987 million head.

OCT 18 Cattle closed at $112.975, down $0.250,

DEC 18 Cattle closed at $117.675, down $0.300,

FEB 19 Cattle closed at $121.575, down $0.275,

SEP 18 Feeder Cattle closed at $155.200, down $0.625

OCT 18 Feeder Cattle closed at $157.975, down $0.050

NOV 18 Feeder Cattle closed at $157.825, unch,

Lean Hogs Market Commentary

Lean hog futures are mixed at midday, with nearby Oct up 50 cents and most other contracts steady to 85 cents lower. The CME Lean Hog Index was up $1.10 on September 17 to $54.58. The USDA pork carcass cutout value was 98 cents higher at $78.55 in the Wednesday morning FOB plant report. The national base hog carcass value was up $1.61 @ $54.67 on Wednesday morning. FI hog slaughter through Tuesday was estimated at 838,000 head. That is down 90,000 head from last week and 64,000 head from the same week last year, as NC slaughter plants are still closed. So far reports are showing losses of 5,500 head of hogs due to the Hurricane. Others are backing up at the farm and some big kills are going to be needed.

OCT 18 Hogs closed at $59.575, up $0.400,

DEC 18 Hogs closed at $57.150, down $0.825

FEB 19 Hogs closed at $65.250, down $0.550

Cotton Market Commentary

Cotton futures are trading 15 to 38 points in the green at the moment. A little buying support is coming from profit taking on Tuesday’s sharp losses and the US dollar is also down 130 points at the moment. The weekly Export Sales report will be released on Thursday, with traders closely monitoring the volume going to China. The Cotlook A index was down 50 points from the previous day at 90.80 cents/lb on September 18. The USDA AWP is currently at 73.79 cents/lb, and will be updated on Thursday.

OCT 18 Cotton closed at 79.3, up 15 points,

DEC 18 Cotton closed at 78.9, up 38 points

MAR 19 Cotton closed at 79.39, up 26 points

MAY 19 Cotton closed at 80.13, up 24 points

Market Commentary provided by:

Brugler Marketing & Management LLC
1908 N. 203rd St.Omaha, NE 68022
Phone: 402-697-3623
Fax: 402-289-2353