Ag Market Commentary

Corn futures are trading 1 to 2 1/4 cents higher in most contracts on Friday. USDA did not update their monthly reports today due to the partial government shutdown. Turkey is seeking 342,000 MT of optional origin corn, with the tender due on January 18. The Chinese Ag Ministry updated their 18/19 corn crop estimate at 257.33 MMT, which is compared to 259.07 MMT last year. The Buenos Aires Grain Exchange estimates that 86.1% of the Argentine corn crop is planted, slightly below a year ago. Of the crop that is emerged, 51.1% is in gd/ex condition, compared to 29.3% last year. An updated estimate from Safras & Mercado shows Brazil’s 18/19 corn crop at 93.366 MMT, down 1.53 from their prior estimate.

Mar 19 Corn is at $3.78, up 1 3/4 cents,

May 19 Corn is at $3.86 1/2, up 2 cents,

Jul 19 Corn is at $3.94 1/2, up 2 1/4 cents

Sep 19 Corn is at $3.97 1/4, up 2 1/4 cents

--provided by Brugler Marketing & Management

Soybean futures are up 4 to 5 1/4 as yesterday’s sellers take some profits off the table ahead of the weekend. Soymeal futures are down $1.70/ton to weigh on the product values, with soy oil up 16 points. Argentina’s soybean crop was reported at 96.1% planted according to BAGE, vs 94.3% in 2018. There is also 29.1% of the crop blooming compared to 33.3% last year, with condition ratings 8.6% above a year ago at 48.8% gd/ex. Safras & Mercado slashed their 18/19 Brazilian soybean crop projection by 6.5 MMT to 115.72 MMT. That comes after CONAB trimmed their estimate to 118.8 MMT on Thursday. The Chinese Ag ministry left their soybean import projection at 83.65 MMT, down 10.48 MMT from last year on assumed lower use due to ration changes away from soy meal and herd losses due to ASF.

Jan 19 Soybeans are at $9.00 3/4, up 5 1/4 cents,

Mar 19 Soybeans are at $9.11, up 4 1/4 cents,

May 19 Soybeans are at $9.24 3/4, up 4 1/2 cents,

Jul 19 Soybeans are at $9.37, up 4 3/4 cents,

Jan 19 Soybean Meal is at $310.90, down $1.70

Jan 19 Soybean Oil is at $28.10, up $0.16

--provided by Brugler Marketing & Management

Wheat futures are posting strong 7 to 8 1/4 cent gains in the winter wheat contracts on Friday, with MPLS up 4 to 5 cents. US wheat at the moment is close to $1.50 under Black Sea wheat prices at the ports. Tunisia, Morocco and Jordan are all active in the market after Egypt made their big purchase earlier in the week. DTN reported their HRW cash index at $4.73 on Thursday evening, 93 cents above the same time at year ago. The Argentine wheat crop is 95.6% harvested as reported by BAGE, 0.4% below this time in 2018. Total harvested production has totaled 17.948 MMT. Paris wheat milling futures were up 0.61% on the day.

Mar 19 CBOT Wheat is at $5.22, up 8 1/4 cents,

Mar 19 KCBT Wheat is at $5.06 3/4, up 8 cents,

Mar 19 MGEX Wheat is at $5.68 3/4, up 4 3/4 cents

--provided by Brugler Marketing & Management

Live cattle futures are trading 35 to 65 cents higher in the front months at midday. Feeder cattle futures are mixed, with most contracts higher and nearby Jan down 20 cents. The CME feeder cattle index was down 15 cents on January 9 at $145.55. Wholesale boxed beef prices were lower on Friday morning. Choice boxes were down $1.14 at $212.82, with Select 63 cents lower at $207.14. USDA estimated WTD FI cattle slaughter at 477,000 head through Thursday. That was 5,000 head above the same week last year. Cash bids on Friday are mostly $122, with asks still around $125-126.

Feb 19 Cattle are at $125.525, up $0.650,

Apr 19 Cattle are at $126.450, up $0.525,

Jun 19 Cattle are at $117.725, up $0.350,

Jan 19 Feeder Cattle are at $146.550, down $0.200

Mar 19 Feeder Cattle are at $145.300, up $0.225

Apr 19 Feeder Cattle are at $146.150, up $0.475

--provided by Brugler Marketing & Management

Lean Hog futures are down 77.5 cents to $1.40 at midday on Friday. The CME Lean Hog Index was up 89 cents from the previous day @ $55.99 on January 9. The USDA pork carcass cutout value was up $2.59 on Friday morning at an average weighted price of $73.05. The belly was up $10.90, with the picnic $6.62 higher. The national base cash hog carcass value was 40 cents lower in the AM report, with a weighted average of $50.68. This week’s FI hog slaughter through Thursday was estimated at 1.9 million head, which was 91,000 head larger than the same week last year.

Feb 19 Hogs are at $63.025, down $1.050,

Apr 19 Hogs are at $67.075, down $0.775

May 19 Hogs are at $72.575, down $1.325

--provided by Brugler Marketing & Management

Cotton futures are showing 15 to 20 point losses in the nearby contracts to end the week. The dollar is steady, with crude lower at midday. The Cotlook A index was up 155 points from the previous day on January 10 at 82.60 cents/lb. There will be no CFTC commitment of Traders report this afternoon, and the Cotton Ginnings update from USDA is also delayed thanks to the shutdown.

Mar 19 Cotton is at 72.7, down 15 points,

May 19 Cotton is at 74.17, down 19 points

Jul 19 Cotton is at 75.47, down 20 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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