[Thurs]: The slaughter of the past few weeks has been insufficient to fill the demand for beef. An important key to satisfying slaughter needs will be reopening the Tyson plant, according to The Cattle Report… Fed cattle activity has been slow to non-existent so far this week. Packers have little to gain by pushing the market each day and will likely wait and conclude purchases all at once rather than chase prices higher daily… [Weds]: Boxed beef cutout values this afternoon were firm… Choice was up $1.09… Select rose $1.71… In negotiated cash sales in Nebraska, the USDA reported 204 head sold live for $113-$114, and no reported dressed sales. In Iowa-Minnesota, there were 44 head sold live for $114, and no reported dressed sales. “Choice beef prices are still rallying, which should allow packers to pay up once again for slaughter supplies later this week,” Stewart-Peterson said. “However, talk of large placements in October and November may be keeping some pressure on today along with expectations for large production increases for Q1 and Q2 of next year”… 

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Thu 11/7/2019 8:40 AM

 

Cattle - The Hightower Report said that winter wheat conditions are not favorable for cattle feeding, and this might spark higher placements in November.

 

The slaughter of the past few weeks has been insufficient to fill the demand for beef. An important key to satisfying slaughter needs will be reopening the Tyson plant, according to The Cattle Report.

 

Pork market geared for upswing

 

Reuters reported that global meat shippers have three years to make the most of the outbreak of a fatal pig disease in China before Chinese pork imports peak, according to a report released by the U.S. pork industry, which is competing for sales against Europe and South America.

 

Fed cattle activity has been slow to non-existent so far this week. Packers have little to gain by pushing the market each day and will likely wait and conclude purchases all at once rather than chase prices higher daily, according to The Cattle Report.

 

Wed 11/6/2019 4:25 PM

 

Boxed beef cutout values this afternoon were firm on moderate to good demand and offerings, the USDA said.

 

Choice was up $1.09 to $237.14/cwt.

Select rose $1.71 to $211.53.

 

In negotiated cash sales in Nebraska, the USDA reported 204 head sold live for $113-$114, and no reported dressed sales. In Iowa-Minnesota, there were 44 head sold live for $114, and no reported dressed sales.

 

“Choice beef prices are still rallying, which should allow packers to pay up once again for slaughter supplies later this week,” Stewart-Peterson said. “However, talk of large placements in October and November may be keeping some pressure on today along with expectations for large production increases for Q1 and Q2 of next year.”

 

In addition, winter wheat conditions are not favorable for cattle feeding and this might spark higher placements in November as well, the Hightower Report said.

 

Rumors of delayed deal spark selling pressure

 

“December cattle closed moderately lower on the day but well up from the lows,” the Hightower Report said. “Some weakness in beef cut-out values kept the market under pressure, and news of a delay until December for a trade deal with China was enough to spark some long liquidation selling pressure.”

 

December hogs closed sharply lower on the day and the nearby contract led the market lower, according to the Hightower Report.

 

“An executive with the Trump administration indicated that the U.S.-China trade deal could be delayed until December as discussions continue over the terms and venue,” the report said.

 

'Marking time' ahead of report

 

Soybean markets are anticipating a trade deal between the U.S. and China getting closer, although they’re not taking off just yet.

 

“Despite the markets feeling that the U.S. and China are growing closer and closer to signing the Phase 1 trade deal, speculators appear somewhat hesitant to take beans higher on this speculation,” Stewart-Peterson said.

 

Overall, it was a fairly quiet day for grain markets as traders waited for more fresh information. “Quiet day in the grain markets as the trade marks time ahead of Friday’s USDA report,” Ami Heesch, with CHS Hedging, said. “Producers are not willing sellers at current price levels as the focus is on getting the crop harvested rather than getting the crop marketed.”

 

Corn

 

“Corn prices were slightly stronger on delays in the harvest progress from moisture holding above 20% in many areas,” Ami Heesch, with CHS Hedging, said. “This year’s corn export demand is much lower than what is needed to achieve the USDA’s target. There could be a fair number of acres that have corn standing well into winter, if not all the way to next spring.”

 

“Corn prices are drifting due to a continued lack of anything positive on the export front as well as position-taking ahead of Friday’s Supply and Demand report,” Stewart-Peterson said. “The demand side of the balance sheet is likely to get smaller once again on Friday morning, more than likely overwhelming any production declines the corn market may or may not see.”

 

Soybeans

 

Soybeans were lower on a few factors, including slow progress on a U.S. and China trade deal.

 

“The soybean market traded lower on harvest pressure and disappointment from the ongoing Phase I talks between the US and China,” Ami Heesch, with CHS Hedging, said. “Chatter today was that the deal could get rolled back to December.”

 

Soybean analysts and traders were looking ahead to the next USDA report.

 

“Traders are anticipating tomorrow’s USDA weekly report to indicate soybean oil export sales to range from 5,000-25,000 MT,” Barchart.com said. “A Reuters survey ahead of Friday’s USDA report indicated traders are expecting world ending stocks of soybeans to be 93.85 MMT.”

 

Wheat

 

“The wheat market traded mixed with light buying interest emerging in Chicago from ongoing crop concerns in Argentina and Australia,” Ami Heesch, with CHS Hedging, said. “Producers are unwilling sellers at current price levels, as they are more engaged in the row crop harvest. The winter wheat is set to get a pretty good shot of moisture with little or no concerns about damage to the crop.”

 

“Talk of lower Australian crop may have offered support,” Steve Freed, with ADM Investor Services, said. “Lower corn and soybean price action may have weighed on prices. Brazil said they will allow 700 mt duty free wheat to be imported. They usually import 5.0 mmt annually and most of that is from Argentina.”

 

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