AgriCharts Market Commentary

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Corn Market News and Commentary

Corn futures are currently 1 to 1 1/2 cents lower after seeing most contracts steady to 2 cents higher on Friday. March futures were up 0.93% in a week that saw a couple sizable swings. Higher ethanol prices supported the market on Friday. The government shutdown continues, as Democrats rejected President Trump’s compromise offer on DACA. Brazil’s first corn crop harvest is estimated at 1% complete according to AgRural. Wire sources indicate Turkey bought as much as 342,000 MT of corn in a recent series of tenders. Given the current state of relations, it is not clear that the US participated in the business. EU data released on Monday showed corn imports YTD (since July 1 for them) have totaled 9.25 MMT. That is up 45% from the previous year due to tight supplies stemming from poor crops.

--provided by Brugler Marketing & Management

Soybeans Market News and Commentary

Soybean futures are trading fractionally lower to start the week. They posted 8 to 9 cent gains in most nearby contracts on Friday, with March 0.71% higher for the week. Soymeal futures were up $2.90/ton, with soy oil 24 points higher. Several Trade War rumors helped to support the market later in the week. We regard these as trial balloons for the next negotiating round at the end of the month. AgRural estimates that the Brazilian soybean harvest is 6.1% complete, compared to the average at 1.2%. EU soybean imports since July 1 have totaled 7.8 MMT, up 11.8% year over year with a larger percentage originating in the United States. Meal imports have been down, however. US futures markets were closed on Monday, but Chinese futures were up 1.04% in the May Dalian contract, extending gains from Friday.

--provided by Brugler Marketing & Management

Wheat Market News and Commentary

Wheat futures are on both sides of UNCH this morning, ranging from a penny lower (MPLS) to 1 1/2 higher (KC HRW). They ended the Friday session with most contracts steady to 2 1/4 cents higher. A firm dollar limited those gains with some follow through from buying on Thursday. The dollar was firmer again overnight. Nearby CBT was down 1 3/4 cents last week, with KC up 1 1/2 and MPLS 0.75% higher. Bangladesh is tendering for 50,000 MT of 12.5% protein optional origin wheat this week. Private forecaster SovEcon is estimating Russian wheat exports for January will drop to 2.3 MMT from 4.3 MMT in December. EU soft wheat exports since July 1 now total 12.218 MMT, down 27% from the previous year. Imports are up 48% at 1.951 MMT.

--provided by Brugler Marketing & Management

Cattle Market News and Commentary

Live cattle futures closed mostly 35 to 65 cents higher on Friday, with nearby Feb down 57.5 cents. Feb was up 1.24% for the week. Cash trade was mostly seen around $124 on Friday afternoon. Feeder cattle futures were steady to 30 cents higher, with March a dime lower. Jan FC were down $3.20 on the week. The CME feeder cattle index was down $1.04 on January 17 at $142.05. Wholesale boxed beef prices were higher on Friday afternoon, with the Ch/Se spread tightening to $3.70. Choice boxes were up 65 cents at $212.15, with Select $1.95 81 at $209.45. USDA estimated week to date FI cattle slaughter at 620,000 head through Saturday. That is 6,000 head below last week and 7,000 head larger than the same week last year.

--provided by Brugler Marketing & Management

Lean Hogs Market News and Commentary

Lean Hog futures posted 37.5 cent to $1.65 gains in most contracts on Friday. Feb was down 2.27% on the week. The CME Lean Hog Index was up 16 cents from the previous day @ $58.18 on January 16. The USDA pork carcass cutout value was down 13 cents on Friday afternoon at an average weighted price of $69.97. The national base cash hog carcass value was 41 cents higher in the PM report, with a weighted average of $51.81. Weekly FI hog slaughter was estimated at 2.508 million head through Saturday, which would be 48,000 below the preceding week. Monday kill was 406,000 head vs. 388,000 a year ago.

--provided by Brugler Marketing & Management

Cotton Market News and Commentary

Cotton futures are trading 2 to 16 points higher this morning. They were 20 to 48 points lower in most contracts on Friday. Nearby March was up 1.93% for the full week. Traders were taking profits ahead of the 3-day weekend, with pressure also from a higher US dollar. The dollar is firmer again this morning. The Cotlook A Index was up 100 points on January 17 to 82.90 cents/lb. USDA showed that 14.949 million bales of upland cotton have been classed as of January 17, with the total including Pima at 15.545 million bales. Estimated AWP was 63.06 last week, and computes to 64.07 for the week ending this Thursday.

--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