[Thurs]: Cattle are still fighting declining beef prices, Brugler Marketing said this morning. With limited activity cash sales so far this week have been $95-$98. Wholesale boxed beef prices were lower yesterday, narrowing the spread to $8 flat… [Weds]: Afternoon National Slaughter Cattle Review / Boxed beef cutout values this afternoon lower… Choice fell $2.12… Select went down $1.88… In negotiated cash sales in Nebraska, the USDA reported 8,034 head sold dressed at $155-156, with 4,864 head sold live at $95-98. In Iowa/Minnesota, 414 head were sold live at $97-99, and 3,669 head were sold dressed at $153-159… Hogs and cattle were both down today and concern about the certificates being demanded from China that packing plants have no COVID-19 were a factor, according to Virginia McGathey of the CME Group… 

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Thu 6/25/2020 8:54 AM

 

Cattle - Cattle are still fighting declining beef prices, Brugler Marketing said this morning. With limited activity cash sales so far this week have been $95-$98. Wholesale boxed beef prices were lower yesterday, narrowing the spread to $8 flat.

 

WTD cattle slaughter through Wednesday was estimated at 359,000 head, which is 8,000 head below last year’s pace. “Packers are still having difficulty ramping up in the face of COVID-19 process changes,” Brugler Marketing said.

 

August cattle are now trading right in line with the cash market, but the beef market continues to push lower and until there is some stability sellers could remain active, The Hightower Report said.

 

Possible demand increase as restaurants reopen

 

With more restaurants opening in the U.S. the demand pull could be impressive as the pipeline expands, The Hightower Report said. “However, the jump in virus cases in the south could slow the process as the consumer reaction could be to stay home,” The Report said.

 

One the pork side there is cautious optimism. “As long as trade frictions with China do not deteriorate and China continues to import U.S. pork and poultry, the market seems in a position to bounce,” The Hightower Report said.

 

However, if China were to stopping importing meat from the U.S., there will be too much fresh meat to absorb, The Hightower Report said.

 

Wed 6/24/2020 4:54 PM

 

Boxed beef cutout values this afternoon lower on Choice and Select, USDA said.

 

Choice fell $2.12 to $209.69/cwt.

Select went down $1.88 to $201.69.

 

In negotiated cash sales in Nebraska, the USDA reported 8,034 head sold dressed at $155-156, with 4,864 head sold live at $95-98. In Iowa/Minnesota, 414 head were sold live at $97-99, and 3,669 head were sold dressed at $153-159.

 

August cattle closed moderately lower on the day amid a hefty short-term supply of all meat. The hope is that more restaurants opening will help increase beef consumption, according to The Hightower Report.

 

Futures are stronger than cash prices at the moment due to the hope for demand growth, but concern over a large supply are holding down cash prices, according to Virginia McGathey of the CME Group.

 

Livestock down on China concerns

 

Hogs and cattle were both down today and concern about the certificates being demanded from China that packing plants have no COVID-19 were a factor, according to Virginia McGathey of the CME Group.

 

A hefty short-term supply of all meat on the U.S. market has helped give traders a bearish tilt on supply, according to The Hightower Report.

 

Grain markets consolidate

 

Much of what took place in today’s session was simple consolidation ahead of month and quarter end, but prices for corn, soybeans and wheat were all down, according to Karl Setzer at Agrivisor.

 

Weather forecasts for favorable conditions for row crops also put pressure on the market today, according to CHS Hedging.

 

Corn

 

The corn market traded lower on outside influences and forecasts for favorable weather conditions, according to CHS Hedging.

 

Ethanol manufacturing for the week ending June 18 jumped 6.2 percent from the prvious week for the highest weekly production figure since mid-March. Ethanol stocks also decreased on the week, according to Karl Setzer of Agrivisor.

 

Soybeans

 

Concerns about an increase in COVID-19 cases in the U.S. and Europe possibly reducing demand helped pull soybean prices lower, according to ADM Investor Services.

 

The market awaits more Chinese buying and is concerned about a favorable weather forecast, according to CHS Hedging.

 

Wheat

 

The wheat market traded lower on a strong U.S. dollar and resumption of the winter wheat harvest, according to CHS Hedging.

 

The Russian wheat harvest will be getting underway in the next two weeks and that is expected to bring Russia back to the export market, according to Karl Setzer of Agrivisor.

 

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