AgriCharts Market Commentary

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Corn Posting Gains on Thursday

Corn futures are trading 2 to 3 cents higher at midday. The delayed EIA weekly report showed an uptick in daily ethanol production by another 8,000 barrels per day, with 971,000 bpd produced for week ending 10/11. Ethanol stocks are also up, increasing 817,000 barrels to 22.061 million barrels. The U.S. government had issued 70 million fewer ethanol blender tax credits in September than in August. September daily production was an average of 48,000 barrels fewer, for an approximated 960,000 barrel difference between the two months. Corn export sales for the week ending October 10 are expected to be in the range of 400-800,000 MT in Friday’s export sale report.

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

MAR 19 Corn is at $4.05 3/4, up 2 1/4 cents,

MAY 20 Corn is at $4.12, up 2 1/4 cents

JUL 20 Corn is at $4.17 1/4, up 2 1/2 cents

-- provided by Brugler Marketing & Management

Soybean Market 3 to 4 Cents Higher

Soybeans futures are up 3 to 4 1/2 cents in most contract on Thursday. Soybean meal is us $2.30/ton, while soy oil is 3 points higher. Weekly Export Sales data will be pushed back until Friday due to Monday's Holiday. Cargill announced a 225 million dollar expansion in Sidney Ohio, with the investment in soybean crush and soy oil refineries for the plant. Trade estimates ahead of Frdays USDA export sales report are 900k-1.06 MMT for beans, which is a substantial decrease from last week’s sales of 2.092 MMT. Traders are also anticipating the report to show up to 400,000 MT (150k-400k) for soy meal, last week export sales were 364,722 MT. Soy oil is expected to see 0-25,000 MT of export sales this afternoon, as compared to the 1,150 MT of export sales last week..

NOV 19 Soybeans are at $9.32 1/2, up 4 1/2 cents,

JAN 19 Soybeans are at $9.46 1/4, up 4 cents,

MAR 20 Soybeans are at $9.58 1/4, up 3 3/4 cents,

MAY 20 Soybeans are at $9.66 3/4, up 3 1/2 cents,

DEC 19 Soybean Meal is at $307.10, up $2.30,

DEC 19 Soybean Oil is at $30.43, up $0.03

-- provided by Brugler Marketing & Management

Wheat Higher on Thursday

Wheat futures are trading firm to 5 cents higher in the KC and MPLS contracts, with CBT up 7 to 10 cents in the front months. USDA is expected to show 250,000-500,000 MT in all wheat export sales for the week that ended on October 10. Japan is tendering for 115,835 MT of wheat from UA, Canada, and Australia. The MOA tender results will be out later today, with 35,590 MT specified as US origin. Saudi Arabia is tendering for 595,000 MT of wheat, with a deadline on Friday. Strategie Grains raised their EU wheat production estimate by 1 MMT to 145.5 MMT

DEC 19 CBOT Wheat is at $5.23 1/4, up 10 cents,

DEC 19 KCBT Wheat is at $4.30, up 5 cents,

DEC 19 MGEX Wheat is at $5.52 1/4, up 1 3/4 cents

--provided by Brugler Marketing & Management

Cattle Lower at Midday

Live cattle futures are down 12.5 to 50 cents in the front months at midday. Feeder cattle futures are down triple digits, with Oct $1.25 lower. The CME Feeder Cattle index was 3 cents higher on 10/15 to $145.12. Wholesale boxed beef prices are higher so far Thursday. Choice boxes are up 51 cents to $218.79, with Select boxes noticing a 6 cent improvement up to $191.43. USDA estimated week to date FI cattle slaughter through Wednesday at 351,000 head. That is 1,000 head above last week but down 4,000 from the same week last year. FCE’s trial sale this Friday has 941 head listed for sale. A few $111 sales were reported in the WCB this week according to USDA. A Cargill plant in Dodge City is down for the day due to an explosion in a stand-alone building. It is not expected to remain out of operation for long.

OCT 19 Cattle are at $112.000, down $0.350,

DEC 19 Cattle are at $113.750, down $0.125,

FEB 20 Cattle are at $119.100, down $0.500,

OCT 19 Feeder Cattle are at $143.975, down $1.250

NOV 19 Feeder Cattle are at $144.000, down $1.925

JAN 19 Feeder Cattle are at $140.450, down $1.925

--provided by Brugler Marketing & Management

Lean Posting Triple Digit Losses

Lean Hog futures are down $1.80 to $25.875 in the front months on Thursday. The CME Lean Hog Index $1.02 higher to $62.92 on Oct 15. The USDA pork carcass cutout value was down $1.04 at midday to $76.68. Most primal cuts are mixed so far; ribs are seeing a $3.29 decrease, while picnic shoulder is $1.80 higher so far. The national average base hog value has dropped $1.03 and is at $5.65 for Thursday’s midday. USDA estimated WTD hog slaughter at 1.471 million head, up 8,000 head from last week and 53,000 larger than last year. Tyson has notified pork producers that it will shift to a totally racto-free supply chain in February 2020. China (and others) do not permit imports of pork from pigs fed diets including ractopamine.

DEC 19 Hogs are at $67.750, down $2.875,

FEB 19 Hogs are at $76.900, down $1.950

APR 20 Hogs are at $83.075, down $1.800

-- provided by Brugler Marketing & Management

Cotton Showing Marginal Losses

Cotton futures are showing marginal 16 to 24 point losses in the front months on Thursday. Portions of western TX are expected to remain dry for the next 7 days, with the eastern half and Southeastern US expected to receive some moisture from a tropical storm. The Cotlook A Index has bounced back up 120 points on Oct to 74.00 cents/lb. Last week’s AWP was 53.90 cents/lb, it will be updated later this afternoon.

DEC 19 Cotton is at 64.38, down 16 points,

MAR 19 Cotton is at 64.95, down 24 points

MAY 20 Cotton is at 65.5, down 22 points

JUL 20 Cotton is at 65.93, down 22 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
E-mail: alanb@bruglermktg.com
Web: http://bruglermarketing.com