Ag Market Commentary

Corn futures are rebounding 2 to 4 1/2 cents higher in the front months on Thursday, with strength in wheat supportive. The USDA showed data for old crop corn export sales in the week of May 30, with a net reduction of 8,788 MT, well below the bottom end of estimates. This was also the week nearby corn was at a 3-year high, with US competitiveness dropping. New crop sales totaled just 23,458 MT. Monthly export data from Census indicated 5.472 MMT (215.43 mbu) of corn shipped in April, up 14.7% from March but 29.04% lower yr/yr. A Bloomberg survey found the average analyst estimate for 2019/20 corn ending stocks dropped to 1.772 billion bushels from the May USDA figure of 2.485 billion.

Jul 19 Corn is at $4.19 1/4, up 4 1/2 cents,

Sep 19 Corn is at $4.28 1/2, up 4 1/4 cents,

Dec 19 Corn is at $4.37 1/4, up 3 3/4 cents

Mar 20 Corn is at $4.45 1/4, up 3 1/4 cents

--provided by Brugler Marketing & Management

Soybean futures are down 1 to 3 cents in the nearby contracts on Thursday. Soy meal is down $1.60/ton, with bean oil 37 points higher. The weekly update to the Export Sales report indicated 510,024 MT of old crop soybeans sold in the final full week of May, above expectations. Unknown destinations purchased 214,000 MT, with China at 72,300 MT in bookings. New crop sales were reported at 73,740 MT. Soy Meal sales were tallied at 112,888 MT, with soy oil at 15,420 MT. April soybean exports according to Census were at 2.399 MMT (88.16 mbu), which was the second largest April total on record. Meal exports in April were a monthly record 1.27 MMT. President Trump is also threatening to implement the tariffs on the final $300 billion in Chinese exports to the US, with a decision to come after the G-20 later this month.

Jul 19 Soybeans are at $8.67 3/4, down 2 cents,

Aug 19 Soybeans are at $8.74 1/2, down 1 3/4 cents,

Sep 19 Soybeans are at $8.81, down 2 3/4 cents,

Nov 19 Soybeans are at $8.94 1/4, down 3 cents,

Jul 19 Soybean Meal is at $316.10, down $1.60

Jul 19 Soybean Oil is at $27.59, up $0.37

--provided by Brugler Marketing & Management

Wheat futures are showing 11 to 20 3/4 cent gains in most contracts on Thursday. All wheat export booking in the week that ended May 30 (also the final full week of the MY) were tallied at a net reduction of just 25,983 MT for old crop. Unshipped sales remained at 1.628 MMT, with just 1 shipping day left. New crop sales were at a MY high 501,893 MT in that week. Census Trade data for April shows US exporters shipped 2.83 MMT (103.98 mbu) of wheat in that month, a MY high) That was a 6-year high for April and 44.46% above March, with the YTD total at 813 mbu and just May data remaining. Japan purchased a total of 77,042 MT of Australian and US (58,157 MT) wheat in their weekly MOA tender

Jul 19 CBOT Wheat is at $5.11 1/2, up 20 3/4 cents,

Jul 19 KCBT Wheat is at $4.56 3/4, up 11 cents,

Jul 19 MGEX Wheat is at $5.63, up 16 cents

--provided by Brugler Marketing & Management

Live cattle futures are firm to 30 cents higher on Thursday. Feeder cattle futures are down 10 to 65 cents at midday. The CME feeder cattle index was down 31 cents to $131.88 on June 4. Wholesale boxed beef prices were higher on Thursday morning. Choice boxes were up 44 cents at $222.55 with Select boxes 25 cents higher @ $207.43. USDA shows FI cattle slaughter WTD through Wednesday at 360,000 head. That was 2,000 head larger than the same week last year. Cash trade this week has been around $113 in the South and $114 in the North. Both are $2 lower than last week. Weekly Beef export sales for the week of May 3 totaled 16,704 MT, with actual shipments in that week at 17,892 MT.

Jun 19 Cattle are at $107.950, up $0.100,

Aug 19 Cattle are at $104.925, up $0.250,

Oct 19 Cattle are at $105.850, up $0.300,

Aug 19 Feeder Cattle are at $139.000, down $0.450

Sep 19 Feeder Cattle are at $139.300, down $0.400

Oct 19 Feeder Cattle are at $139.525, down $0.200

--provided by Brugler Marketing & Management

Lean Hog futures are showing 10 to 50 cent gains at midday, with the exception being August, down 22.5 cents. The CME Lean Hog Index was down 23 cents from the previous day @ $80.67 on June 4. The USDA pork carcass cutout value was up $2.28 at $85.35 on Thursday morning, with the belly leading the way up $10.48. The national average base hog was down $1.31 on Thursday, with a weighted average price of $75.05. Estimated FI hog slaughter WTD through Wednesday is 1.419 million head, 78,000 head above the same week last year. Export sales of pork in the week that ended on May 30 were tallied at 33,776 MT for 2018, with China buying 17,394 MT. There was also 10,765 MT in forward sales for 2019, all for China. Actual shipments were reported at 22,192 MT.

Jun 19 Hogs are at $80.100, up $0.250,

Jul 19 Hogs are at $86.775, up $0.500

Aug 19 Hogs are at $85.850, down $0.225

--provided by Brugler Marketing & Management

Cotton futures are showing 65 to 117 point losses in most contracts at midday. All upland cotton export sales totaled 182,316 RB for 18/19 during the week that ended on May 30, with China at net reductions of 8,997 RB and India buying 144,900 RB. New crop sales totaled just 51,625 RB. Monthly trade data from Census showed 1.759 million bales in export during April. That is the third largest April total on record but well behind last year’s record. The Cotlook A index for June 5 was down 50 points from the previous day to 79.85 cents/lb. The weekly Average World Price (AWP) is now 61.51 cents/lb through next Thursday, up 20 points from the previous week.

Jul 19 Cotton is at 68.08, down 66 points,

Oct 19 Cotton is at 66.32, down 117 points

Dec 19 Cotton is at 66.16, down 65 points

Mar 20 Cotton is at 66.730, down 67 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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