Ag Market Commentary
BRUG - Tue Jan 08, 5:11PM CST

Corn futures closed the Tuesday session with most contracts 1 to 2 1/4 lower. The weekly EIA report showing ethanol production and stocks as of Jan 4 is back to the normal Wednesday schedule for this week. CONAB will be releasing their updated January Brazil production estimates this Thursday. USDA will be delayed this month, but traders surveyed by Reuters are expecting a 94.31 MMT projection. China approved one new GM corn trait (DP4114) for importation after no approvals since 2017.

Mar 19 Corn closed at $3.80, down 2 1/4 cents,

May 19 Corn closed at $3.88, down 2 1/4 cents,

Jul 19 Corn closed at $3.95 3/4, down 1 3/4 cents

Sep 19 Corn closed at $3.98 1/2, down 1 1/4 cents

--provided by Brugler Marketing & Management

Soybean futures ended Turnaround Tuesday with the front months 5 to 6 cents lower on profit taking. Soymeal were down 60 cents/ton, with soy oil 8 points lower. Trade estimates for the January USDA reports (which are delayed due to the government shutdown and will NOT be released on Friday) are for Brazil’s soybean production estimate to be trimmed to 120.13 MMT, according to a Reuters survey. Brazil’s CONAB, however, will release their estimates as scheduled this Thursday. The US/China trade talks in Beijing are still on going and heading into a third day on Wednesday according to US trade officials. The application date for MFP payments will be pushed back from Jan 15 by the USDA due to the government shutdown.

Jan 19 Soybeans closed at $9.06 1/4, down 6 cents,

Mar 19 Soybeans closed at $9.18 1/2, down 5 3/4 cents,

May 19 Soybeans closed at $9.31 3/4, down 5 1/4 cents,

Aug 19 Soybeans closed at $9.48 1/4, down 5 cents,

Jan 19 Soybean Meal closed at $317.60, down $0.60,

Jan 19 Soybean Oil closed at $28.18, down $0.08

--provided by Brugler Marketing & Management

Wheat futures saw 1 to 2 1/2 cents gains in the winter wheat contracts on Tuesday, with MPLS fractionally mixed. USDA reports scheduled for this Friday will NOT be released as planned, with USDA waiting on funding before announcing the next release. A Reuters survey of traders shows expectations for the delayed winter wheat seedings report at 32.279 million acres, with 22.727 million for HRW and 6.019 million acres for SRW. That would be down from 2018 planting acreage. French wheat exports in November totaled 1.26 MMT, with 683,000 headed to destinations other than countries in the EU. That was up slightly from October. Egypt’s GASC is tendering for wheat, with the close on Wednesday and late Feb/early March delivery sought.

Mar 19 CBOT Wheat closed at $5.17 3/4, up 1 cent,

Mar 19 KCBT Wheat closed at $5.05, up 2 cents,

Mar 19 MGEX Wheat closed at $5.67 1/4, down 3/4 cent

--provided by Brugler Marketing & Management

Live cattle futures posted a sharp $2.10 gain in Feb on Tuesday, with other contracts higher. Feeder cattle futures were up 80 cents to $1.625 in most contracts. The CME feeder cattle index was down 43 cents on January 7 at $145.63. Wholesale boxed beef prices were lower on Tuesday afternoon. Choice boxes were down a penny at $213.98, with Select 95 cents lower at $207.26. USDA estimated WTD FI cattle slaughter at 237,000 head. That was 2,000 head above the same week last year. The FCE is back online this week, with a total of 513 head offered from KS and NE.

Feb 19 Cattle closed at $125.300, up $2.100,

Apr 19 Cattle closed at $126.150, up $1.075,

Jun 19 Cattle closed at $117.475, up $0.950,

Jan 19 Feeder Cattle closed at $147.625, up $1.625

Mar 19 Feeder Cattle closed at $145.450, up $1.550

Apr 19 Feeder Cattle closed at $146.100, up $1.400

--provided by Brugler Marketing & Management

Lean Hog futures were mixed on Tuesday, with front month Feb up 70 cents. The CME Lean Hog Index was up 87 cents from the previous day @ $54.50 on January 4. The USDA pork carcass cutout value was down 40 cents on Tuesday afternoon at an average weighted price of $70.16. The national base cash hog carcass value was $1.16 higher in the PM report, with a weighted average of $50.18. This week’s FI hog slaughter was estimated at 960,000 head, which was 48,000 head larger than the same week last year.

Feb 19 Hogs closed at $62.600, up $0.700,

Apr 19 Hogs closed at $66.025, down $0.350

May 19 Hogs closed at $72.950, up $0.025

--provided by Brugler Marketing & Management

Cotton futures saw 86 to 108 point losses in most contracts on Tuesday. The US dollar was up on the day. The US and China met for trade talks in Beijing on Monday and Tuesday, as US trade officials confirmed they will meet again on Wednesday. We will likely be without the Export Sales report again this week due to the partial government shutdown. USDA is extending the MFP application deadline past the original Jan 15 date due to shutdown. The Cotlook A index was up 180 points from the previous day on January 7 at 81.50 cents/lb.

Mar 19 Cotton closed at 71.670, down 108 points,

May 19 Cotton closed at 73.070, down 103 points

Jul 19 Cotton closed at 74.400, down 100 points

--provided by Brugler Marketing & Management

Market Commentary provided by:

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

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