[Weds] “The fundamentals are still softer, with the cash market trending mostly lower,” Total Farm Marketing said. “National Direct Daily Hogs prices are trending lower and that seem to be the current track. Wednesday trade was sporadic, mostly steady, but National Direct values will be published this afternoon, and they are trending lower, which has weighed on prices.” / National Daily Hog and Pork Summary: Natl: $89.71, +$1.31; IA/MN: $91.61; WCB: $91.60; ECB $86.84; Cutout: $110.40, +$4.73 ...
Farm Commodity Newsletter/Iowa Farmer Today
Wed 9/8/2021 5:05 PM
In weighted average negotiated prices for barrows and gilts, USDA reported;
National carcass base was $1.31 higher to $89.71/cwt.
National live was 33 cents lower to $69.48
Iowa-Minnesota carcass base was $91.61
USDA reported carcass cutout values this afternoon rose $4.73 to $110.40/cwt.
“Weekly average weights increased to 278.9 pounds, up from 278.2 a week ago and 276.7 pounds last year,” the Hightower Report said. “The market remains at a discount to the cash market, but cash markets are coming down steadily. Pork cutout values that midsession came in at $112.44, up $6.77 on the day.”
“The fundamentals are still softer, with the cash market trending mostly lower,” Total Farm Marketing said. “National Direct Daily Hogs prices are trending lower and that seem to be the current track. Wednesday trade was sporadic, mostly steady, but National Direct values will be published this afternoon, and they are trending lower, which has weighed on prices.”
Hogs bounce back off lows
“October cattle closed moderately lower on the day and the selling pushed the market down to the lowest level since June 2,” the Hightower Report said. “The early rally failed to attract new buying interest. The selling also cased the market to take out the previous day's low for the 10 session in a row.”
“October hogs managed to rally sharply early in the session but closed moderately lower on the day and the selling pushed the market down to the lowest level since August 25,” the Hightower Report said. “More talk that exports could slow at the same time that supply is on the rise helped to pressure.”
Grain markets chop through Wednesday
Analysts are watching as the full swing of corn harvest gets closer, and what it could mean for markets. “On top of Ida, the harvest is quickly approaching as the corn crop, according to many producers, is maturing at a rapid pace this year,” Total Farm Marketing said. “An early start to the planting season and warm weather has helped to push the crop along.”
Wednesday was a fairly choppy day for grain markets, looking ahead to the USDA’s September Crop Report on Friday. “Grain markets had a choppy day of trade with some weakness bleeding over from wheat contracts,” Jim Warren, with CHS Hedging, said. “Outside markets were a little more muted today despite the Dollar Index continuing its strengthening.”
“The Farm Service Agency accidently released the acreage numbers, two days early, that USDA will use to help determine planted acreage in their Friday report,” Jim Warren, with CHS Hedging, said. “Corn’s Planted/Failed acres is 91.218 mln, up 910,000 from the August preliminary estimate. Failed acres alone were 81,368.”
“Corn futures were mixed,” Steve Freed, with ADM Investor Services, said. "Some feel futures could remain under pressure through harvest and due to a lack of new export sales. US farmers remain reluctant sellers due to lower futures and lower basis. Some are looking for a rally in basis or narrowing of spreads to signal a harvest low or possible post harvest bounce.”
“November soybeans reversed higher on the day after a weak start, but volume was very light today and only modest gains were held by the close,” Jim Warren, with CHS Hedging, said. “FSA’s early released acreage report showed 86.184 mln acres of Planted/Failed soybeans, up 898,000 from their August preliminary estimate. Failed acres alone was 53,131.”
“An announced sale of 106,000 mmt to China provided initial support as prices experienced double digit gains by mid-morning,” Total Farm Marketing said. “Concerns regarding export news (lack of large sales) is continuing to weigh on prices as it appears some export activity will turn to other countries due to problems at the Gulf.”
“Wheat was pressured today by the larger than expected Stats Canada stocks estimate, and a stronger Dollar didn’t help matters,” Jim Warren, with CHS Hedging, said. “FSA’s early released acreage report showed 604,990 failed acres of wheat. Stats Canada estimated their All Wheat stocks at 5.705 mmt, well above the average guess of 4.8 mmt and also above last year’s level.”
“Wheat futures continue to slide lower,” Steve Freed, with ADM Investor Services, said. “Higher than expected Canada July 31 wheat stocks trigger new selling. This followed a higher than expected estimate of Australia wheat crop… Some rain in parts of Canada may slow harvest there. Russia wheat acres remain dry for the spring crop and planting of the 2022 winter crop.”