[Thurs]: Boxed beef cutout values were steady… Choice down 22 cents… Select up 33 cents… In negotiated cash sales in Nebraska, the USDA reported no live sales Thursday. A total of 153 head were sold dressed at $204.52 were reported. In Iowa, there were no reportable live sales, with dressed sales of 219 head at $204.00… Rallying cash fundamentals combined with the winter storm to boost cattle prices, Stewart-Peterson says…
Farm Commodity Newsletter/Iowa Farmer Today
Fri 4/12/2019 8:54 AM
Cattle - Choice boxes were down 22 cents at $228.83, with select boxes 33 cents higher at $219.95, Brugler Marketing & Management said. USDA estimated week to date cattle slaughter at 471,000 head through Thursday. That would be 6,000 lower last week and 7,000 head fewer than the same week a year ago.
Cattle futures were steady to higher yesterday, said Joe Vaclavik of Standard Grain. “We may see cash activity improve later this week,” he said.
African swine fever spread concerns continue
There is fear African swine fever could show up in the U.S., and “that could be a disaster,” said Joe Vaklavik of Standard Grain.
China hog production for all of 2019 looks like it’ll be down by 11.5%, an 11-year low, reported Terry Roggensack of The Hightower Report.
Thu 4/11/2019 4:53 PM
Boxed beef cutout values were steady on Choice and firm on Select on light to moderate demand and offerings, the USDA said
Choice down 22 cents to $228.83/cwt.
Select up 33 cents to $219.95.
In negotiated cash sales in Nebraska, the USDA reported no live sales Thursday. A total of 153 head were sold dressed at $204.52 were reported. In Iowa, there were no reportable live sales, with dressed sales of 219 head at $204.00
June cattle were slightly higher today, but well off the contract high, says Hightower. Cumulative sales of beef have reached 333,900 tonnes this year, down 7 percent from last year’s totals. Boxed beef cutout values at mid-session were nine cents lower.
Rallying cash fundamentals combined with the winter storm to boost cattle prices, Stewart-Peterson says. April feeder prices were also up 30 cents. Cash cattle have been trading all week near last week’s prices, while May feeders are creeping to the top of their price range.
Winter storm fueling cattle
Concern over a brutal winter storm over much of the northern plains helped fuel higher June cattle prices, says the Hightower Report. Prices closed at the highest since March 25. U.S. beef exports sales came in over five tonnes lower than the four-week average.
Huge export sales helped fuel strong hog prices. Stewart-Peterson says news that the U.S. sold 90,700 tons of pork to China last week boosted market optimism. This total is up sharply from the previous week and the four-week average.
Bean weakness hurt corn
Weak export sales dragged soybean prices even lower today, says ADM Ag Market View. Net exports were well below the estimated of 270,400 metric tons for the current marketing year. There were no sales to China and a purchase of 99,300 tonnes to an unknown buyer was canceled.
Weakness in the bean market spilled over into the corn market, says Michaela White with CHS Hedging. Corn export figures were also disappointing, White says. The dollar was stronger today, making corn less competitive to global customers.
Estimates for South American corn production continue to fall. CONAB pegged Brazil’s crop at 94 mmt, down 2 mmt from USDA’s estimate, according to ADM Ag Market View. This was also below most pre-report forecasts. July corn was down slightly today.
Stewart-Peterson says a spring storm and wet conditions through parts of the cornbelt into May are expected to delay corn planting. Positive comments this week from USDA Sec. Sonny Perdue regarding U.S./China trade talks is also helping fuel optimism in the corn market.
Soybean futures were soft this morning with May closing under $9 per bushel. Stewart-Peterson says the U.S. and China have agreed on enforcement mechanisms in trade discussions, with both sides establishing enforcement offices to deal with issues. Despite this, export sales continue to slide.
Indonesia was the top buyer of beans last week, purchasing 73,700 MT, says Barchart. China’s purchase dropped slightly. Total new crop sales were just under 10,000 MT. Soybean meal sales were estimated at 152,143 MT, with soy oil sales at 33,834 MT.
Wheat markets were higher today. Stewart-Peterson says dry conditions in Europe have been supportive to wheat prices, as has inclement weather in the Midwest. Strategie Grains cut European soft wheat production estimates by 1.3 MT, a figure still 14 percent higher than last year.
Net weekly export sales for wheat were close to estimates, says ADM Ag Market View. The total of 273,000 MT for the current marketing year compares to an estimate of 201,400 for the next marketing year.