Ag Market Commentary

Corn futures are showing 1 to 3 3/4 cent gains in most front months on Wednesday. Follow through buying and spill over from beans are supportive today. This morning’s EIA report showed ethanol production (and corn consumption) in the week of June 7 was the largest since last August. Production was 1.096 million barrels per day, up 52,000 bpd from the week prior. Ethanol stocks dropped 751,000 barrels to 21.802 million barrels, the lowest figure since last July. USDA raised their old crop corn cash average price by a dime on Tuesday to $3.60. New crop was bumped up 50 cents to an average price of $3.80.

Jul 19 Corn is at $4.31 1/2, up 3 3/4 cents,

Sep 19 Corn is at $4.39 3/4, up 3 1/2 cents,

Dec 19 Corn is at $4.50, up 3 cents

Mar 20 Corn is at $4.57 1/4, up 1 3/4 cents

--provided by Brugler Marketing & Management

Soybean futures are up double digits in the nearby contracts on Wednesday. Soymeal is up $4.60/ton, with bean oil 35 points higher. A look at the 7-day QPF shows 3-6 inches for most of the ECB over the next week, with most of the totals later this weekend. With soybean planting progress 28% behind normal on Sunday, the rains threaten to even further delay progress. In their US balance sheet, USDA trimmed old crop cash average price by a nickel to $8.50, with their new crop cash price up 15 cents to $8.25. USDA’s chief economist stated they did not have enough info to change the US new crop soybean production numbers, but he expects an adjustment in the July report.

Jul 19 Soybeans are at $8.77, up 17 3/4 cents,

Aug 19 Soybeans are at $8.83 1/4, up 17 cents,

Sep 19 Soybeans are at $8.90 1/2, up 17 1/4 cents,

Nov 19 Soybeans are at $9.04 1/4, up 17 1/4 cents,

Jul 19 Soybean Meal is at $319.00, up $4.60

Jul 19 Soybean Oil is at $27.57, up $0.35

--provided by Brugler Marketing & Management

Wheat futures are trading 3 to 9 cents higher in the winter wheat contracts at midday, with MPLS steady to 3 ¼ cents lower. SRW keeps extending their premium to HRW, now at 63 3/4 cents as rains in the ECB are causing further issues with an already below normal condition SRW crop. Forecasts for the eastern half of the Southern Plains show heavy rainfall totals, also supporting the HRW market. The USDA left their old crop US cash average prices UNCH @ $5.20 yesterday, with new crop up 40 cents from last month to $5.10. For the world numbers WOAB raised Russian new crop production by 1 to 78 MMT, with domestic use and exports also up 1 MMT. Ukraine’s production estimate was also up 1 to 30 MMT.

Jul 19 CBOT Wheat is at $5.25 3/4, up 7 3/4 cents,

Jul 19 KCBT Wheat is at $4.62, up 4 1/2 cents,

Jul 19 MGEX Wheat is at $5.66 1/4, down 3 1/4 cents

--provided by Brugler Marketing & Management

Live cattle futures are down 90 cents to $1.675 at midday. Feeder cattle futures are trading $1.60 to $2.22 lower in the front months. The CME feeder cattle index was up 65 cents to $132.91 on June 10. Wholesale boxed beef prices were mixed on Wednesday morning. Choice boxes were up a penny at $222.40 with Select boxes 82 cents lower @ $207.43. USDA estimated week to date FI cattle slaughter @ 243,000 head. That is 7,000 head larger than the same point last year and up 2,000 from last week. Wednesday’s FCE showed sales of $113 on 340 of the 663 head offered, all from KS.

Jun 19 Cattle are at $109.550, down $1.125,

Aug 19 Cattle are at $105.150, down $1.675,

Oct 19 Cattle are at $106.175, down $1.675,

Aug 19 Feeder Cattle are at $135.925, down $2.200

Sep 19 Feeder Cattle are at $136.575, down $2.025

Oct 19 Feeder Cattle are at $136.875, down $2.100

--provided by Brugler Marketing & Management

Lean Hog futures are down 12.5 cents in the nearby contract, with back months as much as $1.45 lower. The CME Lean Hog Index was down 29 cents from the previous day @ $79.66 on June 10. The USDA pork carcass cutout value was down $1.02 on Wednesday morning at $82.74. The picnic and belly primals were the only ones reported higher. The national average base hog was down 46 cents at $74.74 per hundred pounds. This week’s estimated FI hog slaughter through Tuesday was 949,000 head. That is 5,000 head above last week and 58,000 head larger than the same week last year.

Jun 19 Hogs are at $78.950, down $0.125,

Jul 19 Hogs are at $84.000, down $0.375

Aug 19 Hogs are at $81.950, down $1.025

--provided by Brugler Marketing & Management

Cotton futures are up 57 to 104 points in the front months on Wednesday. USDA trimmed new crop cash average price for cotton by a penny to 64 cents/lb on Tuesday. For the world numbers, USDA raise old crop leftover stocks by 1.06 million bales to 77.53, with New crop stocks up 1.57 at 77.26 million bales. USDA raised old crop Chinese imports by 250,000 bales but cut consumption by 500,000 bales to 40 million. The Cotlook A index for June 11 was up 50 points from the previous day to 76.85 cents/lb. The weekly Average World Price (AWP) from USDA is now 61.51 cents/lb through Thursday.

Jul 19 Cotton is at 66.65, up 100 points,

Oct 19 Cotton is at 66.5, up 104 points

Dec 19 Cotton is at 65.9, up 86 points

Mar 20 Cotton is at 66.480, up 57 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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