[Weds]: Seara Alimentos, a company of the JBS group, made its first sale of pork innards to China. According to a JBS statement, Seara has closed a shipment of 400 metric tons of pork… Hog traders are awaiting any updates from U.S.-China trade negotiations and any promises to buy larger volumes of U.S. pork. China will resume imports of Canadian beef and pork, Prime Minister Justin Trudeau said… [Tues]: National carcass base down 73 cents… Iowa-Minnesota carcass base down 61 cents… USDA reported carcass cutout values this afternoon rose 75 cents… The jump in pork values to the highest since August is a bullish demand development and suggests elevator export levels, The Hightower Report said… Stewart-Peterson reported that China’s spot pig price is still drifting lower, likely under pressure from stifled demand… 

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Wed 11/6/2019 8:43 AM

 

Lean Hogs - Seara Alimentos, a company of the JBS group, made its first sale of pork innards to China. According to a JBS statement, Seara has closed a shipment of 400 metric tons of pork. "The cargo will soon depart directly from Santa Catarina, the home state of the company's two newly authorized units," JBS said.

 

Allendale reported that lean hog futures rallied due to technical-buying and a short-covering bounce from recent lows, underpinned by hopes for accelerated pork sales to China. Hog traders are awaiting any updates from U.S.-China trade negotiations and any promises to buy larger volumes of U.S. pork.

 

China resumes meat imports

 

China will resume imports of Canadian beef and pork, Prime Minister Justin Trudeau said, four months after China blocked shipments during a diplomatic feud between the two countries. "Good news for Canadian farmers today: Canadian pork and beef exports to China will resume," Trudeau tweeted.

 

Seven Brazilian hog plants in Santa Catarina have been approved by China for pork exports, Brugler Marketing & Management reported.

 

Tue 11/5/2019 4:37 PM

 

In weighted average negotiated prices for barrows and gilts, USDA reported:

 

National carcass base down 73 cents to $46.08.

National live was up 1 cent to $39.35.

Iowa-Minnesota carcass base down 61 cents to $45.83.

 

USDA reported carcass cutout values this afternoon rose 75 cents to $79.50/cwt.

 

The jump in pork values to the highest since August is a bullish demand development and suggests elevator export levels, The Hightower Report said.

 

Seven Brazilian hog plants in Santa Catarina has been approved by China for pork exports, Alan Brugler reported.

 

Chinese pork prices under pressure

 

Live cattle, as well as feeder cattle futures, are mixed so far on Tuesday, said Alan Brugler. Both are seeing gains farther out, and decreases nearby.

 

Stewart-Peterson reported that China’s spot pig price is still drifting lower, likely under pressure from stifled demand.

 

Traders wary on limited news

 

Another day without any Chinese purchases put the markets on the defensive most of the day as other news was too limited to motivate any buying, according to Jody Lawrence of Strategic Trading Advisors.

 

It was a choppy day in the grain markets amid position squaring ahead of the release of the USDA production report on Friday, said Ami L. Heesch of CHS Hedging. Plans are to have a done deal on Phase I of the trade war situation by the end of November.

 

Corn

 

Corn prices sag on mostly favorable harvest weather across much of the Midwest for this and next week, Ami L. Heesch of CHS Hedging reported. Moisture is still an issue, with corn dryers humming away at their max. Market awaits fresh supportive news on the US-Chinese situation.

 

There is much debate as to whether Friday’s Supply and Demand report will show higher corn production or lower corn production, according to Stewart-Peterson. The average market estimate is indicating that the USDA will drop in national corn yield, but history suggests corn yield generally increases on the November report during late-harvest years.

 

Soybeans

 

This week some have lowered their estimate of Argentina soybean crop due to dryness, ADM Investor Services reported. Argentina export tax policy could also be key to their final exports.

 

The soybean market has been unable to respond to more positive headlines regarding the perspective of Phase 1 China trade deal, Stewart-Peterson said.

 

Wheat

 

ADM Investor Services said that talk of higher emerging market economies may be helping wheat. Word that Egypt bought French and Russia wheat in their tender could offer resistance to prices.

 

Pressure on wheat prices stems from strength in the U.S. dollar, plentiful supplies and stiff competition from other world players, according to Ami L. Heesch of CHS Hedging.

 

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