Ag Market Commentary

Corn futures saw fractional to 1 1/2 cent gains in most contracts on Tuesday. The Quarterly Grain Stocks report on Friday is expected to show 12.092 bbu of corn on hand on Dec 1 according to a Reuters survey. That would be down 475 mbu from last Dec 1 if realized. Final 2018 production numbers are estimated to see a yield of 177.9 bpa, down 1 bpa from the November update. Weekly ethanol stocks and production data will be updated on Wednesday from the EIA.

Mar 19 Corn closed at $3.80 3/4, up 1 1/2 cents,

May 19 Corn closed at $3.89, up 1 1/2 cents,

Jul 19 Corn closed at $3.96 1/2, up 1 1/4 cents

Sep 19 Corn closed at $3.99, up 3/4 cent

--provided by Brugler Marketing & Management

Soybean futures ended the Tuesday session with most nearby contracts 1 to 2 1/2 cents higher Meal futures were down $1.10/ton, with soy oil 25 points higher. Private export sales of 2.603 MMT of soybeans to China and 274,000 MT to unknown were reported by the USDA this morning. Ahead of Friday’s USDA reports, traders estimate Dec 1 soybean stocks at 3.743 bbu, which would be 582 mbu above last year. The Crop Production report is expected to show US soybean yield updated to 51.8 bpa, down 0.3 bpa from November. Stats Canada Canadian canola stocks were tallied at 14.552 MMT on Dec 31, which is 4.9% larger than this time last year.

Mar 19 Soybeans closed at $9.20 1/4, up 1 3/4 cents,

May 19 Soybeans closed at $9.34 1/4, up 1 3/4 cents,

Jul 19 Soybeans closed at $9.47 1/2, up 2 1/2 cents,

Sep 19 Soybeans closed at $9.54 1/2, up 2 1/4 cents,

Mar 19 Soybean Meal closed at $309.50, down $1.10,

Mar 19 Soybean Oil closed at $30.38, up $0.25

--provided by Brugler Marketing & Management

Wheat futures closed the day with the three exchanges steady to 1 1/2 cents higher in the nearby contracts. Spreaders were active, as new crop winter wheat contracts were 4 to 8 cents lower. Prior to Friday’s USDA reports, the average trade estimate for all wheat stocks on December 31 is 1.957 bbu. If realized, that would be nearly 84 mbu larger than a year ago. Japan is seeking a total of 131,165 MT of Australian, Canadian and US wheat in a tender that closes on Thursday, with 58,492 MT US specific. Tuesday morning’s Stats Canada report showed that Dec 31 stocks of all wheat were slightly lower than last year at 23.233 MMT. Stocks of Durum were up 12.5% from last year at 5.328 MMT, with other wheat stocks down 3.5%.

Mar 19 CBOT Wheat closed at $5.27 1/4, up 1 1/2 cents,

Mar 19 KCBT Wheat closed at $5.11 1/4, up 3/4 cent,

Mar 19 MGEX Wheat closed at $5.75, up 1/4 cent

--provided by Brugler Marketing & Management

Live cattle futures were steady to 97.5 cents higher on Tuesday. Feeder cattle futures were mixed with most front months 17.5 to 40 cents lower and deferred contracts a nickel to 20 cents higher. The CME feeder cattle index was up 53 cents on February 4 at $141.54. Wholesale boxed beef prices were lower on Tuesday afternoon, with the Ch/Select spread at $3.92. Choice boxes were down 63 cents at $217.02 with Select 31 cents lower at $213.10. This week’s USDA estimated FI cattle slaughter is 236,000 head through Tuesday. That is down 1,000 head from last week and 7,000 above the same week last year.

Feb 19 Cattle closed at $126.700, up $0.975,

Apr 19 Cattle closed at $127.625, up $0.625,

Jun 19 Cattle closed at $117.400, up $0.400,

Mar 19 Feeder Cattle closed at $143.825, down $0.400

Apr 19 Feeder Cattle closed at $145.450, down $0.375

May 19 Feeder Cattle closed at $146.050, down $0.325

--provided by Brugler Marketing & Management

Lean Hog futures posted 95 cent to $1.45 losses in the front months on Tuesday. The CME Lean Hog Index was up 23 cents from the previous day @ $57.41 on February 1. The USDA pork carcass cutout value was down $1.90 on Tuesday afternoon at an average weighted price of $66.22. The national base cash hog carcass value was down 39 cents in the PM report, with a weighted average of $50.16. USDA estimated FI hog slaughter at 950,000 head through Tuesday. That is 14,000 above the previous week and 27,000 head larger than the same week last year.

Feb 19 Hogs closed at $56.425, down $0.950,

Apr 19 Hogs closed at $61.600, down $1.450

May 19 Hogs closed at $68.725, down $1.100

--provided by Brugler Marketing & Management

Cotton futures found a little bargain buying following losses the previous two sessions, with most contracts 30 to 64 points higher. Last Friday, a total of 16,358 bales of cotton was sold on The Seam at an average price of 68.78 cents. Monday’s trade was a little lighter at just 508 bales @ 58.15 cents. The Cotlook A Index was down 75 points on February 4 to 83.00 cents/lb. The USDA Adjusted World Price is 65.07 cents/lb through Thursday, up 17 points from the previous week. USDA will release updated production data on Friday, which was delayed in January.

Mar 19 Cotton closed at 73.400, up 64 points,

May 19 Cotton closed at 74.690, up 61 points

Jul 19 Cotton closed at 76.040, up 60 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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