Ag Market Commentary

Corn futures are showing gains of 2 to 3 cents in most contracts on Friday, as they continue their pattern of choppy trade. Support is coming from the rest of the grain complex, and sharply higher ethanol. Monthly EIA data shows that US exported 169.8 million gallons of ethanol in November. That is slightly below October but up 57.6% from Nov 2017. Brazil exported 4.22 MMT of corn during January, according to Trade Ministry data, slightly above December and 39.8% larger than Jan 2018.

Mar 19 Corn is at $3.79, up 2 1/2 cents,

May 19 Corn is at $3.87 3/4, up 2 1/2 cents,

Jul 19 Corn is at $3.95 3/4, up 3 cents

Sep 19 Corn is at $3.98, up 2 1/2 cents

--provided by Brugler Marketing & Management

Soybean futures are trading 6 to 7 3/4 cents higher at midday. Meal futures are up $4.30/ton, with soy oil 19 points lower. Following the two-day meeting between US and Chinese trade reps, a White House official stated that China offered to buy 5 MMT of US soybeans. On Friday, trade sources reported Chinese state-owned firms bought at least 1 MMT for April-July delivery. Brazil’s Trade ministry reported 2.154 MMT of soybeans shipped in January. That was just half of December exports but 37.76% above the same month last year. INTL FCStone cut another 4.1 MMT from their previous Brazil soybean production estimate to 112.2 MMT.

Mar 19 Soybeans are at $9.23, up 7 3/4 cents,

May 19 Soybeans are at $9.37, up 7 3/4 cents,

Jul 19 Soybeans are at $9.49 1/2, up 7 1/2 cents,

Aug 19 Soybeans are at $9.54 1/4, up 7 cents,

Mar 19 Soybean Meal is at $314.30, up $4.30

Mar 19 Soybean Oil is at $29.98, down $0.19

--provided by Brugler Marketing & Management

Wheat futures are posting 5 to 10 cent gains in most contracts at Friday’s midday. Ahead of next Tuesday’s Stats Canada report, Traders estimate that all wheat stocks on Dec 31 were at 23.4 MMT. That would be slightly lower than the 23.771 MMT last year. SovEcon, a Russian ag consultancy, raised their 2019 wheat production estimate by 2.7 MMT to 80 MMT on Friday. That is well above the Russian Ag Ministry’s projected 67 MMT production total.

Mar 19 CBOT Wheat is at $5.24 1/2, up 8 cents,

Mar 19 KCBT Wheat is at $5.08 3/4, up 9 3/4 cents,

Mar 19 MGEX Wheat is at $5.75, up 5 cents

--provided by Brugler Marketing & Management

Live cattle futures are trading 12.5 to 40 cents higher in the nearby contracts at midday. Feeder cattle futures are mixed, with most contracts steady to 35 cents lower and nearby March up 12.5 cents. The CME feeder cattle index was down 42 cents on January 30 at $142.57. Wholesale boxed beef prices were mixed on Friday morning, with the Ch/Se spread tightening to just 89 cents! Choice boxes were down $1.32 at $214.07 with Select 30 cents higher at $213.18. USDA estimated week to date FI cattle slaughter at 463,000 head through Thursday. That is down 5,000 head from last week and 8,000 below the same week last year. Cash bids so far on Friday have been seen around $121 still, with a few dressed sales of $199 in NE.

Feb 19 Cattle are at $125.175, up $0.375,

Apr 19 Cattle are at $126.425, up $0.125,

Jun 19 Cattle are at $116.350, up $0.400,

Mar 19 Feeder Cattle are at $142.675, up $0.125

Apr 19 Feeder Cattle are at $144.100, down $0.175

May 19 Feeder Cattle are at $144.700, down $0.100

--provided by Brugler Marketing & Management

Lean Hog futures are mixed on Friday, with front months steady to 15 cents lower and back months higher. The CME Lean Hog Index was down 27 cents from the previous day @ $57.40 on January 30. The USDA pork carcass cutout value was down $1.35 on Friday morning at an average weighted price of $66.70. All primals were reported lower. The national base cash hog carcass value was up 10 cents in the AM report, with a weighted average of $50.80. USDA estimated FI hog slaughter at 1.609 million head through Thursday. That is 207,000 below the previous week and 252,000 head fewer than the same week last year. Transportation problems due to severe wind chills limited slaughter.

Feb 19 Hogs are at $56.225, down $0.025,

Apr 19 Hogs are at $60.075, down $0.150

May 19 Hogs are at $67.700, up $0.275

--provided by Brugler Marketing & Management

Cotton futures are showing 12 to 17 point losses in most contracts on Friday. US and Chinese trade officials did make progress during their meetings this week according to trade rep Lighthizer. They are expected to meet again before the March 1 deadline. The Cotlook A Index was up 15 points on January 31 to 83.70 cents/lb. The USDA Adjusted World Price is 65.07 cents/lb through next Thursday, up 17 points from the previous week.

Mar 19 Cotton is at 74.26, down 14 points,

May 19 Cotton is at 75.49, down 17 points

Jul 19 Cotton is at 76.76, down 14 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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