Ag Market Commentary

Corn futures closed Wednesday with losses of 1 to 2 cents, on profit taking ahead of Thursday’s USDA reports. The USDA Crop Progress report indicated that all of the 18 reported states were above their normal harvest pace as of Sunday, with IA only moving 4% on the week to 15%. Condition ratings in IA dropped 11 points, with NE down 5, IN 3 points lower and MN down 2. The weekly EIA report is delayed until Thursday due to Monday’s federal holiday. Thursday’s monthly USDA report is expected to show world corn carryout for 18/19 at 159.2 MMT, up 2.17 MMT from September.

DEC 18 Corn closed at $3.62 3/4, down 1 3/4 cents,

MAR 19 Corn closed at $3.74 3/4, down 1 3/4 cents,

MAY 19 Corn closed at $3.82, down 1 1/2 cents

JUL 19 Corn closed at $3.87 3/4, down 1 1/4 cents

--provided by Brugler Marketing & Management (402) 289-2330

Soybean futures posted losses of 10 to 11 cents in most contracts on Wednesday. Nearby soy meal was down $1.50/ton and soy oil 32 points lower. NASS showed most of the harvest progress was made in the ECB last week, as IA, MN, and the Dakotas are now lagging their average pace. As elevator supplies are large, the lag in overall progress is not seen as significant. State by state condition ratings show IA dropping 11 points and NE down 5, with IL up 8 and MN 1 point higher. Analysts expect 18/19 world soybean stocks to be reported at 109.9 MMT by the USDA on Thursday, 1.64 MMT larger than the September total. An auction of Chinese state reserves saw 101,057 MT of soybeans sold on Wednesday, accounting for 100% of what was offered.

NOV 18 Soybeans closed at $8.52 1/4, down 10 3/4 cents,

JAN 19 Soybeans closed at $8.66, down 10 3/4 cents,

MAR 19 Soybeans closed at $8.78 3/4, down 10 1/2 cents,

MAY 19 Soybeans closed at $8.92, down 10 1/2 cents,

OCT 18 Soybean Meal closed at $312.00, down $1.50,

OCT 18 Soybean Oil closed at $28.65, down $0.32

--provided by Brugler Marketing & Management (402) 289-2330

Wheat futures were down 1 to 3 cents in the MPLS contracts, with CBT and KC 3 to 5 cents in the red. Tuesday’s Crop Progress report indicated planting progress in KS was 58% complete (49% avg), with OK 60% and TX 54% planted, both ahead of normal. That may change with this week’s weather pattern. The weekly Export Sales report will be delayed until Friday morning due to Monday’s holiday. The average trade estimate for world wheat 18/19 ending stocks on Thursday is 261.2 MMT, which would be fairly stead with last month’s projection. US stocks will be higher, due to the September 28 data.

DEC 18 CBOT Wheat closed at $5.10 1/2, down 4 1/2 cents,

DEC 18 KCBT Wheat closed at $5.16 1/4, down 3 1/4 cents,

DEC 18 MGEX Wheat closed at $5.91 3/4, down 1 3/4 cents

--provided by Brugler Marketing & Management (402) 289-2330

Live cattle futures ended Wednesday with most contracts 45 to 65 cents lower, as nearby Oct was down $1. Feeder cattle futures were down $1.05 to $1.70 on the day. The CME feeder cattle index was down 7 cents on October 9 at $158.38. Wholesale boxed beef values were lower on Wednesday afternoon. Choice boxes were down 74 cents to $202.11, while Select boxes were 95 cents lower at $191.77. USDA estimated weekly FI cattle slaughter at 348,000 head through Wednesday. That was down 10,000 head from last week and 4,000 from the same week in 2017. The weekly FCE online auction saw 0 sales on the 1,246 head offered, with asks @ $111-113 and no bids. A few sales were reported in IA and NE at $174, down about $1 from last week.

OCT 18 Cattle closed at $112.350, down $1.000,

DEC 18 Cattle closed at $116.675, down $0.475,

FEB 19 Cattle closed at $121.600, down $0.500,

OCT 18 Feeder Cattle closed at $155.900, down $1.050

NOV 18 Feeder Cattle closed at $156.125, down $1.375

JAN 19 Feeder Cattle closed at $152.050, down $1.700

--provided by Brugler Marketing & Management, Call (402) 289-2330

Lean hog futures were 25 cents to $1.10 in the red on Wednesday. October needs to stick close to the cash index due to expiration. The CME Lean Hog Index was down 3 cents on October 8 to $69.33. The USDA pork carcass cutout value was 14 cents higher on Wednesday afternoon at $79.20. The loin and butt were the only primal cuts lower. The national base hog carcass value was 71 cents lower on Wednesday afternoon at $62.58. FI hog slaughter was estimated at 1.381 million head WTD through Wednesday. That is down 22,000 head from last week and 4,000 head below the same week last year.

OCT 18 Hogs closed at $68.475, down $0.275,

DEC 18 Hogs closed at $55.950, down $0.625

FEB 19 Hogs closed at $64.525, down $1.100

--Call Brugler Marketing & Management @ (402) 289-2330 with questions or news tips.

Cotton futures were steady to 21 points in the red on Tuesday, as traders are waiting on Thursday’s crop report to get direction. The Tuesday edition of the weekly Crop Progress report showed that Georgia, in the path of Hurricane Michael (now a major Cat 4 hurricane!), had 88% of their bolls open, with only 12% harvested as of Sunday. Texas has harvested 28% of their crop, with the average at 2%. Ratings in TX were steady, with GA down 5 points. Cotlook A index was up 145 points from the previous day at 86.85 cents/lb on October 9. The USDA weekly AWP is currently at 67.87 cents/lb and will be updated on Thursday.

DEC 18 Cotton closed at 76.80, down 21 points,

MAR 18 Cotton closed at 78.04, down 3 points

MAY 19 Cotton closed at 78.86, down 3 points

JUL 19 Cotton closed at 79.52, down 2 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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