[Fri]: USDA’s national average base hog price was $1.02 lower at $60.17, said Alan Brugler of Brugler Marketing. USDA’s estimate for FI hog slaughter for the week through Thursday was 1.932 million head. That trailed last week by 33,000 head but was 11,000 above the same week last year… [Thurs]: National Daily Hog and Pork Summary / National carcass base down $1.02 cents… Iowa-Minnesota carcass base had no comparison… USDA reported carcass cutout values this afternoon fell 6 cents… While pork remained strong, trade is starting to pay more attention to Chinese pork demand, according to Karl Setzer of Agrivisor. China was a huge buyer early in the year but the share of U.S. pork revenue generated by sales to China has dropped from 25 percent down to 4 percent as China rebuilds its domestic production… 

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Fri 11/13/2020 8:22 AM

 

Lean Hogs - February is officially the lead lean hog contract right now, Allendale said. It has the larger open interest. Volume will roll into it shortly.

 

USDA’s national average base hog price was $1.02 lower at $60.17, said Alan Brugler of Brugler Marketing. USDA’s estimate for FI hog slaughter for the week through Thursday was 1.932 million head. That trailed last week by 33,000 head but was 11,000 above the same week last year.

 

Grain price increase affecting livestock

 

Relationships between grain and cattle are being ignored while grain prices soar, according to The Cattle Report. The implications for the meats is to increasing pricing of all meats. The concentration of trading interest has been focused on the front months with little attention to all of 2021 that should see all meat prices substantially higher.

 

The weekly actual slaughter report from USDA today revised meat production from two weeks ago, Allendale said. In the week of Oct. 31 steer carcass weights fell 5 pounds from the prior week to now 926 pounds. Heifer weights rose by 1 in this week to 848. Barrows and gilts were unchanged from the previous week at 215 pounds.

 

Grains mixed as harvest winds down

 

Grain markets are mixed after a strong USDA data led rally this week, Allendale said. With the WASDE report now behind us and U.S. harvest near complete, traders are analyzing price potential with weather, virus cases, and Chinese demand in mind.

 

With massive fund speculative length, bouts of profit taking will be a part of the daily trade on days when new bullish news does not surface, said Jody Lawrence of Strategic Trading Advisors. A busy and volatile week will end with the weekly export report and the entire trade still digesting just how tight world ending stocks could get without significant changes to the current production and demand landscape.

 

Rain in South America remains a concern. World Weather Inc. said, “Despite computer forecast models painting nice pictures of precipitation across much of Brazil and in portions of western Argentina, a very large part of South America has not seen ‘normal’ precipitation over the past six weeks.”

 

Thu 11/12/2020 4:33 PM

 

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

 

National carcass base down $1.02 cents to $60.17/cwt.

National live was up $1.37 to at $47.13

Iowa-Minnesota carcass base had no comparison at $59.67

 

USDA reported carcass cutout values this afternoon fell 6 cents to $83.08/cwt.

 

While pork remained strong, trade is starting to pay more attention to Chinese pork demand, according to Karl Setzer of Agrivisor. China was a huge buyer early in the year but the share of U.S. pork revenue generated by sales to China has dropped from 25 percent down to 4 percent as China rebuilds its domestic production.

 

Commercial buyers are keeping support in the hog market, according to Stewart-Peterson.

 

Hogs up, cattle lower on COVID concerns

 

December hogs closed moderately higher on the session while December cattle closed lower on an inside trading day, according to The Hightower Report.

 

Coronavirus news still puts downward pressure on the cattle market, according to Stewart-Peterson.

 

Fund selling hits grains

 

Technical and fund selling was seen across the ag markets today. Corn and soybeans stepped back from contract highs made earlier in the week, according to CHS Hedging.

 

Grains were under pressure today as funds took profit. The most interest in the market remains the tight balance sheet forecast on soybeans, according to Karl Setzer of Agrivisor.

 

Corn

 

The corn market traded lower on a bout of technical trading but losses were limited by the smaller U.S. grain crop, according to CHS Hedging.

 

Ethanol production for the week ending Nov. 6 was 6.84 million barrels, an increase from the prvious week but still a 5 percent reduction on the year, according to Karl Setzer of Agrivisor.

 

Soybeans

 

Lack of new U.S. sales to China and talk of increased moisture in west Argentina and central Brazil offered resistance, according to ADM Investor Services.

 

The soy complex took a step back from profit taking and faced additional pressure from the lack of new Chinese purchases, according to CHS Hedging.

 

Wheat

 

The wheat market traded lower on plentiful global supplies and increased competition in the world export arena, according to CHS Hedging.

 

The trade remains concerned about crop conditions in the Black Sea, the U.S. southern plains, and South America, according to ADM Investor Services.

 

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