Ag Market Commentary

Corn futures ended the Turnaround Tuesday session with 4 to 6 cent losses in most nearby contracts. Profit taking after hitting a 5-year high on Monday weighted on the market. Some pressure also came from weakness wheat, as the nearby KC wheat-corn spread was 16 1/2 cents at the close. That was the lowest since 2013. Monday’s Crop Progress report showed that OH still has 32% of the crop left to be seeded, with IL 12% remaining. EIA will release their weekly ethanol production and stocks data on Wednesday morning. Dr Michael Cordonnier raised his 18/19 Brazilian corn production estimate by 1 MMT to 100 MMT.

Jul 19 Corn closed at $4.49 3/4, down 5 cents,

Sep 19 Corn closed at $4.55 1/2, down 6 cents,

Dec 19 Corn closed at $4.63, down 5 1/2 cents

Mar 20 Corn closed at $4.68 1/4, down 4 3/4 cents

--provided by Brugler Marketing & Management

Soybean futures closed Tuesday with most contracts fractionally to 2 cents higher. Forecasts for heavy rainfall totals in most of the Corn Belt (especially the ECB), with 23% of the crop left to be planted supported the market. Losses in corn and wheat were seen as pressure. Soymeal was down $2.30/ton, with bean oil 19 points higher. USDA reported that IL was 70% planted, IN was 74%, MO at 57% and OH just 46% planted by Sunday. MN was 94% complete, with IA at 89% and NE 91% planted. TN was the only of the 18 states reported faster than normal.

Jul 19 Soybeans closed at $9.13 1/2, up 3/4 cent,

Aug 19 Soybeans closed at $9.20 1/4, up 1 cent,

Sep 19 Soybeans closed at $9.27 1/4, up 1 cent,

Jan 20 Soybeans closed at $9.52 1/4, up 1 1/2 cents,

Jul 19 Soybean Meal closed at $322.00, down $2.30,

Jul 19 Soybean Oil closed at $28.33, up $0.19

--provided by Brugler Marketing & Management

Wheat futures saw 3 to 10 1/4 cent losses in most contracts on Tuesday, pressured by profit taking. The weekly Crop Progress update showed the winter wheat harvest in KS at just 1% (12% avg), with OK 40% back of normal at 16% harvested. Heavy rains forecast for most of OK and KS will likely slow the harvest even further. Spring wheat condition ratings in MN were up 5 points, with ND down 1. Japan is seeking 61,864 MT of US wheat, with the tender to close on Thursday. Egypt’s GASC is tendering for wheat for late July delivery, with the tender to close on Wednesday

Jul 19 CBOT Wheat closed at $5.31 1/2, down 8 cents,

Jul 19 KCBT Wheat closed at $4.65 1/4, down 10 1/4 cents,

Jul 19 MGEX Wheat closed at $5.52 1/4, down 8 cents

--provided by Brugler Marketing & Management

Live cattle futures settled Tuesday with most back months 35 to 90 cents higher and the nearby contracts steady to a few ticks lower. Feeder cattle futures got some help with the weakness in corn, up 32.5 cents to $1.05. The CME feeder cattle index was down 34 cents to $133.21 on June 17. Wholesale boxed beef prices were lower on Tuesday afternoon. Choice boxes were down $1.29 at $220.53 with Select boxes 71 cents lower @ $201.80. USDA estimated the week to date FI cattle slaughter @ 240,000 head. That was 6,000 head larger than the same point last year and down 3,000 from last week. A few scattered bids of $109 have been reported so far on Tuesday.

Jun 19 Cattle closed at $109.450, unch,

Aug 19 Cattle closed at $105.550, down $0.075,

Oct 19 Cattle closed at $107.050, up $0.350,

Aug 19 Feeder Cattle closed at $137.250, up $0.325

Sep 19 Feeder Cattle closed at $137.600, up $0.425

Oct 19 Feeder Cattle closed at $137.700, up $0.550

--provided by Brugler Marketing & Management

Lean Hog futures were mixed on Tuesday, with nearby contracts 17.5 cents to $1.575 lower and deferred contracts higher. The CME Lean Hog Index was down 19 cents from the previous day @ $79.27 on June 14. The USDA pork carcass cutout value was down $1.82 on Tuesday afternoon at $81.15. The loin and butt primals were the only reported higher. The national average base hog was 46 cents lower at $75.68 per hundred pounds. This week’s estimated FI hog slaughter is 477,000 head through Tuesday. That was up 1,000 from the previous week and 84,000 head above the same week in 2018. Vietnam’s ag ministry reported that the country had culled more than 2.5 million head of hogs so far in order to limit the spread of ASF.

Jul 19 Hogs closed at $81.475, down $1.575,

Aug 19 Hogs closed at $81.700, down $0.550

Oct 19 Hogs closed at $76.600, down $0.175

--provided by Brugler Marketing & Management

Cotton futures ended Tuesday mixed, with nearby contracts 31 to 69 points higher and back months higher. President Trump this morning tweeted that he and President Xi of China will have an “extended meeting next week at the G-20,” with trade talks to begin prior to their meeting. NASS reported that planting in TX progressed to 86% by Sunday, with the state’s ratings back up 9 points to 322. OK planting was at just 64% complete. The Cotlook A index for June 17 was down 75 points from the previous day to 77.05 cents/lb. The weekly Average World Price (AWP) from USDA is 58.97 cents/lb through next Thursday, down 2.54 cents from last week.

Jul 19 Cotton closed at 65.320, down 31 points,

Oct 19 Cotton closed at 66.370, down 69 points

Dec 19 Cotton closed at 66.820, up 40 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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