Ag Market Commentary

Corn futures closed the Tuesday session with most contracts steady to 3 cents higher. The release for this week’s EIA report is pushed back until Thursday due to Wednesday’s National Day of Mourning for former President George H.W Bush. Brazil’s Trade Ministry data showed November corn exports at 3.997 MMT, up 24.87% from October and 12.7% larger than last year. As the world is shifting focus to the South American growing season, private consultancy Celeres estimates increased Brazilian 18/19 corn production over last year, with exports for 2019 ranging between 25 and 32 MMT.

Dec 18 Corn closed at $3.74 1/4, up 3 cents,

Mar 19 Corn closed at $3.84 3/4, up 2 3/4 cents,

May 19 Corn closed at $3.91 1/2, up 2 1/4 cents

Jul 19 Corn closed at $3.98 1/4, up 2 cents

--provided by Brugler Marketing & Management

Soybean futures ended Tuesday with most contracts 5 to 6 1/4 cents higher, following through after Monday’s gains. Nearby soy meal was up 60 cents/ton, with soy oil 33 points in the green. Brazil’s soybean exports during November totaled 5.072 MMT, according to the country’s Trade Ministry. That was more than double the same month last year but was down 5.27% from October. Celeres estimates Brazil’s 2018/19 soybean crop could range 123-130 MMT. Brazil exports for 2019 are projected at 77-82 MMT.

Jan 19 Soybeans closed at $9.11 3/4, up 6 cents,

Mar 19 Soybeans closed at $9.23 3/4, up 6 cents,

May 19 Soybeans closed at $9.37, up 6 1/4 cents,

Aug 19 Soybeans closed at $9.52 3/4, up 5 3/4 cents,

Dec 18 Soybean Meal closed at $312.70, up $0.60,

Dec 18 Soybean Oil closed at $28.64, up $0.33

--provided by Brugler Marketing & Management

Wheat futures were steady to 4 cents lower in most contract on Turnaround Tuesday. The CBT front months saw a little strength. Japan is seeking 143,643 MT of wheat from Australia, Canada, and the US, with the tender due on Thursday and 62,975 MT sought from the US. Taiwan’s tender for 110,000 MT of US wheat closes on Wednesday. EU soft wheat production is estimated at 128.6 MMT according to Coceral, down 1.3 MMT from their previous estimate. USDA exports sales data will be released on Friday.

Dec 18 CBOT Wheat closed at $5.19 1/4, up 3 1/2 cents,

Dec 18 KCBT Wheat closed at $4.83 3/4, down 1/4 cent,

Dec 18 MGEX Wheat closed at $5.87 3/4, down 2 1/2 cents

--provided by Brugler Marketing & Management

Live cattle futures settled Tuesday with most contracts 72.5 cents to $1.475 higher. Feeder cattle futures were 35 to 95 cents in the green on the day, with nearby Jan down a dime. The CME feeder cattle index was down $1.13 on December 3 at $146.72. Wholesale beef prices were mixed on Tuesday afternoon, widening the Ch/Se spread to $16.35. Choice boxes were up 78 cents at $213.86, with the Select cutout value $1.67 lower at $197.51. USDA revised last week’s slaughter down 3,000 head to 640,000. USDA’s estimated FI cattle slaughter is at 240,000 head WTD through Tuesday, up 4,000 head from last week and 2,000 head from a year ago. Wednesday’s FCE online auction is showing 219 head for sale.

Dec 18 Cattle closed at $117.775, up $0.900,

Feb 19 Cattle closed at $121.650, up $1.475,

Apr 19 Cattle closed at $122.900, up $1.275,

Jan 19 Feeder Cattle closed at $144.400, down $0.100

Mar 19 Feeder Cattle closed at $141.850, up $0.400

Apr 19 Feeder Cattle closed at $142.900, up $0.550

--provided by Brugler Marketing & Management

Lean Hog futures were steady to $1.15 lower on Tuesday. The CME Lean Hog Index was down 6 cents from the previous day @ $56.36 on November 30. The USDA pork carcass cutout value was up 23 cents on Tuesday afternoon at $70.88. A higher belly and loin primal led the way. The national base cash hog carcass value was down 85 cents this afternoon at an average weighted price of $48.68. USDA’s FI hog slaughter was estimated at 478,000 head for Tuesday, with Monday’s revised down to 467,000 head, bringing the WTD total to 945,000 head. That was up 30,000 head from last week and 13,000 head larger than the same week last year.

Dec 18 Hogs closed at $56.875, down $1.150,

Feb 19 Hogs closed at $66.050, down $0.850

Apr 19 Hogs closed at $70.750, down $0.475

--provided by Brugler Marketing & Management

Cotton futures saw 9 to 14 point losses in the front months on Tuesday, with deferred contracts slightly higher. The Cotlook A index was back up 25 points from the previous day on Nov 30 at 86.80 cents/lb. The weekly USDA AWP was updated to 67.92 cents/lb on Thursday morning, up just 3 points from the week prior. USDA will delay its weekly Export Sales report until Friday, as the government is closed for Wednesday’s National Day of Mourning for former President George H.W. Bush. The CFTC Cotton-on-Call report will be delayed until Friday as well. The Cert stocks level as of December 3 was at 147,199 bales.

Dec 18 Cotton closed at 78.770, down 14 points,

Mar 19 Cotton closed at 79.810, down 14 points

May 19 Cotton closed at 80.950, down 9 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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