[Weds]: China’s hog herd was said to have grown 26.9% and their sow herd has reportedly grown nearly 32%, said Ami Heesch of CHS Hedging… Pork processing has become erratic in recent days, Allendale said. Monday’s 491,000 head original estimate was revised down to 477,000 head. Will Tuesday’s rebound to normal 493,000 also be revised? … [Tues]: National Daily Hog and Pork Summary / National carcass base down 24 cents… Iowa-Minnesota carcass base up 40 cents… USDA reported carcass cutout values this afternoon fell $2.55… China continues to rebuild its hog herd following last year’s outbreak of African Swine Fever, according to Karl Setzer of Agivisor. In October the numbers showed an increase in Chinese herd inventory of 27 percent from October of 2019 and the sow herd grew by over 31 percent over that time…

 

Farm Commodity Newsletter/Iowa Farmer Today

 

Wed 11/18/2020 8:29 AM

 

Lean Hogs - China’s hog herd was said to have grown 26.9% and their sow herd has reportedly grown nearly 32%, said Ami Heesch of CHS Hedging.

 

December hogs closed slightly higher on the session and the market is still in the recent consolidation pattern it has been in all month, according to The Hightower Report. February hogs closed sharply higher on the session as the market recovered some of the losses of the previous three sessions.

 

Virus’s effect on meat sales unknown

 

This year will play out the dining patterns of Americans under siege from the coronavirus during the holiday season, according to The Cattle Report. Obviously, food service sales will be down, but unknown is the stay at home eating choices consumers will make this holiday season. Consumers tend to upgrade meat choices during the holidays and this is good for beef and especially good for certain beef cuts like ribs and loins. With less high end dining available or chosen by diners, how the choices for eating at home change will be a work in progress.

 

Pork processing has become erratic in recent days, Allendale said. Monday’s 491,000 head original estimate was revised down to 477,000 head. Will Tuesday’s rebound to normal 493,000 also be revised? For now, the market has shown little interest in this developing story.

 

SA weather may move grain markets

 

South American weather issues could shift markets, according to Jody Lawrence of Strategic Trading Advisors. “Until Mato Grasso in southern Brazil and Argentina get meaningful and widespread soaking rains this is the lead story,” he said.

 

Grain Markets were mixed overnight. Traders would like confirmation on rumors of further sales to China, Allendale said. On the other hand, there is a slight amount of renewed concern for South America’s crops into December. Additionally, widened concerns over the current virus situation have been balanced by carrots of hope for the coming vaccines.

 

Export sales to China or Unknown have slowed. The last sale for corn was 206,900 metric tons to Unknown on No. 6, according to Allendale. For soybeans, the last exciting sale was 123,000 tonnes to Unknown on Nov. 9. Traders continue to suggest consistent corn sales to China and more spaced-out soybean sales in the coming weeks.

 

The Chinese currency is at 30-month highs, and there is talk about China stockpiling crude and ag goods, said Steve Freed of ADM Investor Services. That could mean they will continue to support the soybean and maybe corn market.

 

Tue 11/17/2020 4:44 PM

 

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

 

National carcass base down 24 cents to $58.66/cwt.

National live had no comparison at $47.61

Iowa-Minnesota carcass base up 40 cents to $58.88

 

USDA reported carcass cutout values this afternoon fell $2.55 at $78.60/cwt.

 

Lean hogs are hanging in there, even with higher feed input costs, according to Scott Shellady of the CME Group. So far the hogs are hanging steady but there are battle lines being drawn.

 

The market is still in the recent consolidation pattern it has been in all month, according to The Hightower Report. February hogs closed sharply higher on the session and the hope is that virus issues will become less important in 2021.

 

China continuing to rebuild herd

 

December hogs closed slightly higher on the session and the cattle market also closed moderately higher, according to The Hightower Report.

 

China continues to rebuild its hog herd following last year’s outbreak of African Swine Fever, according to Karl Setzer of Agivisor. In October the numbers showed an increase in Chinese herd inventory of 27 percent from October of 2019 and the sow herd grew by over 31 percent over that time.

 

Soybeans shoot higher

 

Soybeans and corn traded higher while wheat traded lower in today’s grain markets, according to ADM Investor Services.

 

Soybeans were once again the leader of the market with sizable advances today, according to Karl Setzer of Agrivisor. Demand has been high not only for soybeans but also for soy oil due to shortages of competing products such as palm oil.

 

Corn

 

Corn futures traded higher amid talk of higher demand for U.S. corn exports, according to ADM Investor Services.

 

March corn closed higher for the third session in a row as a weaker U.S. dollar and signs of firm expor demand helped, according to The Hightower Report. Exporters announced a sale of 195,000 tons of U.S. corn to Mexico.

 

Soybeans

 

Up, up and away is the way the soybean market has been going as prices continue to rise, but caution may be important, according to Scott Shellady of the CME Group. Just be careful, he says.

 

South American forecasts indicate dry conditions for the next couple of weeks with models showing a 62 percent chance Brazil will remain dry during that time, according to Karl Setzer of Agrivisor.

 

Wheat

 

Wheat futures traded lower and managed funds were sellers, according to ADM Investor Services. Large world supplies limit the upside but dry conditions in several regions limit the downside.

 

Argentine wheat production has been hit hard with drought this year and anlysts now believe the crop will total only 16.7 million metric tons, which would be the smallest Argentine crop in five years, according to Karl Setzer of Agrivisor.

 

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