[Thurs]: ... The available supply of cattle for market is expected to increase in the second quarter... the very wet weather in the Plains is holding weights and beef production low, said The Hightower Report... [Weds]: Boxed beef cutout values this afternoon were steady… Choice fell 2 cents… Select went down $1.07 cents… In negotiated cash sales in Nebraska, 9,298 head sold live at $126-127, and 220 head sold dressed at $203. In Iowa-Minnesota, the USDA reported 1,229 head sold dressed at $203-206 with no live sales reported… The market traded higher in cattle today in the midst of threatening weather and strong beef prices, The Hightower Report said. “The very wet weather in the Plains is holding weights low and production low and ideas that the selling yesterday was overdone helped to pressure,” The Hightower Report said…

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Thu 3/14/2019 9:12 AM

 

Cattle - The cattle market is in the process of forming a major top, said The Hightower Report, “and while the April cattle is seeing significant short-term selling, the harsh weather and discount to the cash market is helping support some buying in the June contract.”

 

The available supply of cattle for market is expected to increase in the second quarter, and the Chicago Board of Trade reports indicate a market vulnerable to increased selling is support levels are violated, said The Hightower Report.

 

Pork trade increase expected

 

It is becoming more and more likely that world trade in pork will increase significantly this year, led by a massive increase in China’s exports. This should help provide underlying support to the hog market, said The Hightower Report.

 

Brazil’s exports in February were a record high and were up 14 percent from January, led by a jump in Asia, The Hightower Report said.

 

Meanwhile, on the beef side, the very wet weather in the Plains is holding weights and beef production low, said The Hightower Report.

 

Wed 3/13/2019 4:36 PM

 

Boxed beef cutout values this afternoon were steady on Choice and lower on Select on light to moderate demand and light offerings, USDA said.

 

Choice fell 2 cents to $228.24/cwt.

Select went down $1.07 cents to $219.28.

 

In negotiated cash sales in Nebraska, 9,298 head sold live at $126-127, and 220 head sold dressed at $203. In Iowa-Minnesota, the USDA reported 1,229 head sold dressed at $203-206 with no live sales reported.

 

Cattle’s selloff was “just too much too fast,” Virginia McGathey of McGathey Commodities said. “We haven’t seen that kind of a move in a number of sessions. The real worries is demand is on the decline. The numbers don’t bear it out yet but we are still going to watch closely.”

 

With talk of cattle’s overselling yesterday, Stewart-Peterson said that it looks like that weather is the biggest factor to the rise in prices. “Feeder contracts traded sharply higher early in the session but closed well off of highs in fairly weak price action,” they said.

 

Weather helps cattle, pork optimistic

 

The market traded higher in cattle today in the midst of threatening weather and strong beef prices, The Hightower Report said. “The very wet weather in the Plains is holding weights low and production low and ideas that the selling yesterday was overdone helped to pressure,” The Hightower Report said.

 

“The regained sense of optimism regarding U.S./China trade negotiations is also a major supportive force as many expect China to import U.S. pork products to replace lost pork from African swine fever deaths,” Stewart-Peterson said.

 

Trade news looms over markets

 

Reuters is reporting this afternoon that President Donald Trump said he was in no rush to complete a trade deal with China. “I think things are going along very well, we’ll just see what the date is,” Trump said. “I’m in no rush. I want the deal to be right.”

 

Ami L. Heesch of CHS Hedging said that the current version of the USMCA (which is replacing NAFTA) “may not receive approval by the Democratic party as it stands.” She said there are unanswered questions on a few items that may cause a hold up.

 

Corn

 

There were rumors that China bought U.S. corn today, however a lack of confirmation gave just as much resistance to the market today, Steve Freed of ADM Investor Services said. With rumors of a possible signing date for a new trade deal, traders are also wary.

 

“Hopefully the low is in for corn,” Virginia McGathey of McGathey commodities said. “We are really in the wait and see stage, waiting for more news. … Keep your eyes open for whatever comes out of the White House.”

 

Soybeans

 

Short-covering was the primary reason for a rise in prices today, Ami L. Heesch of CHS Hedging said. “Uncertainty about the U.S./Chinese trade deal seems to have kept the market trading in small ranges,” she said.

 

The market got a boost from Brazil cutting some of their crop estimates, Virginia McGathey of McGathey Commodities said. She said it looks like today was a reprieve and the fact the market stayed above unchanged was a positive.

 

Wheat

 

Some traders felt that Tuesday’s big day in wheat was more technical than fundamental, Steve Freed of ADM Investor Services said. “Wheat futures had become oversold with funds increasing net short position on increase volume and open interest,” he said.

 

Prices reverted back to the red today, as some traders pressured prices on profit taking, Ami L. Heesch of CHS Hedging said. “Losses were limited from the funds holding an estimated large net short position in wheat, which makes the wheat market vulnerable to short-covering rallies,” she said.

 

marketwatchonline.com