AgriCharts Market Commentary

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Corn

Corn futures are trading 2 to 2 1/2 cents lower in the nearby contracts. A majority of the Corn Belt was behind their respective averages for dented progress according to the USDA Crop Progress report. Condition ratings in SD improved 14 points, with CO up 10 and ND 7 points higher. Corn conditions inIl and IN were down 12 and 5 points from last week respectively, with KY, MO, and WI the only other states with poorer conditions. The FJ Crop tour estimated the Ohio average yield at 164.62 bpa, which is more than 4 bushels above the 3-year average for those routes. Safras Mercado estimates that 40.4% of the 16/17 Brazilian second season corn crop is sold, down from 68.5% last year, They also estimate the crop is 86.8% harvested, vs. 95.7% a year ago.

Sep 17 Corn is at $3.47, down 2 cents,

Dec 17 Corn is at $3.60 1/2, down 2 1/2 cents,

Mar 18 Corn is at $3.73, down 2 1/4 cents

May 18 Corn is at $3.79 1/4, down 2 1/4 cents

Soybeans

Soybean futures are showing 1 to 1 1/4 cent gains in the front months. Sep soy meal up 30 cents/ton, with nearby bean oil 15 points higher. Yesterday afternoon’s USDA Crop Progress report showed 87% of the US soybean crop was setting pods as of August 20, 2% above the average. Soybean condition ratings increased 1 point on the g/e and Brugler500 ratings, to 60% g/e and 355 respectively. Most of the ECB was reported lower, with a majority of the WCB showing improving conditions. FJ Tour pod counts for Ohio were down 67 per square from the 3-year average, with SD also down as expected. Celeres is projecting 2017/18 Brazil soybean production to run 109.1 MMT compared to 113.8 MMT for 16/17. They are expecting an increase in acreage, but yields to be lower.

Sep 17 Soybeans are at $9.33 1/2, up 1 cent,

Nov 17 Soybeans are at $9.37 1/2, up 1 1/4 cents,

Jan 18 Soybeans are at $9.45 3/4, up 1 1/4 cents,

Mar 18 Soybeans are at $9.54 1/4, up 1 1/4 cents,

Sep 17 Soybean Meal is at $296.10, up $0.30

Sep 17 Soybean Oil is at $33.95, up $0.15

Wheat

Wheat futures are currently 5 to 7 1/2 cents in the red in most nearby contracts at midday. The spring wheat harvest was 58% complete as of August 20, compared to the average of 51% and last year’s 63%. Condition ratings were up 1% g/e according to the USDA, to 34% g/e. The Brugler500 is now at 276, up 3 from last week. Both MN and SD were unchanged, with WA improving 9 points. Minnesota was to only state to show better conditions over last year, as SD finished with a rating of just 193. Japan is seeking 133,791 MT wheat in their weekly MOA tender, with 98,574 MT from the US and the rest from Canada. Russia’s IKAR increased their range of estimates for the country’s 2017 wheat production 2 MMT to 79-82 MMT.

Sep 17 CBOT Wheat is at $4.03 1/4, down 6 1/4 cents,

Sep 17 KCBT Wheat is at $4.00 1/4, down 7 1/2 cents,

Sep 17 MGEX Wheat is at $6.50, down 5 cents

Cattle

Live cattle futures are mostly $1.025 to $2.175 higher on Tuesday. Feeder cattle futures are posting $2.20 to $3.175 gains at the moment. The CME feeder cattle index was $2.31 lower than the previous day at $145.49 for August 18. Wholesale beef prices were higher in the Tuesday morning report, with choice up 73 cents at $193.82 and select boxes a penny higher at $191.63. The choice/select spread is now at $2.19. Wednesday’s FCE online auction is showing 1,067 head for sale. There are reports of starter cash bids of $106 this morning. FI cattle slaughter for Monday was estimated at 118,000 head, 2,000 more than the previous week but 6,000 larger than the same week last year.

Aug 17 Cattle are at $107.025, up $1.025,

Oct 17 Cattle are at $107.850, up $2.000,

Dec 17 Cattle are at $110.225, up $2.175,

Aug 17 Feeder Cattle are at $142.000, up $2.200

Sep 17 Feeder Cattle are at $142.250, up $3.100

Oct 17 Feeder Cattle are at $142.675, up $3.175

Lean Hogs

Lean hog futures are trading 92.5 to 95 cents lower in most front months at midday. The CME Lean Hog Index for 8/18 was 84 cents lower than the previous day at $82.35. The USDA pork carcass cutout value was $2.43 lower in the Tuesday morning report, with a weighted average of $88.13. The ham was down 84 cents, with the volatile belly primal dropping $17.50. The national base hog carcass was down $1.36 at $70.36 in the AM report. FI hog slaughter was estimated at 425,000 on Monday, 21,000 head fewer than the previous week and 11,000 lower than the same week in 2016.

Oct 17 Hogs are at $63.725, down $0.950,

Dec 17 Hogs are at $58.925, down $0.925

Feb 18 Hogs are at $63.675, down $0.950

Cotton

Cotton futures are currently 5 to 36 points higher in the nearby contracts, with back months lower. Cotton condition ratings increased to 63% gd/ex in this week’s USDA Crop Progress report, and the Brugler500 index is now at 362, up 4 points. Conditions in TX were up 7 points, with TN improving 21 points on the week. The US cotton crop has 12% of the bolls opening, vs. last year’s 15%. The USDA cotton AWP for this week is 59.70, down from 62.46 cents/lb in the week just ended. The Cotlook A index for August 21 was 25 points higher than the previous day at 77.65 cents/lb. On Tuesday, China sold 28,900 MT of cotton at an auction of state reserves, as 29,700 MT was offered.

Oct 17 Cotton is at 69.07, up 36 points,

Dec 17 Cotton is at 67.71, up 15 points

Mar 18 Cotton is at 67.35, up 5 points

May 18 Cotton is at 67.840, down 6 points


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