[Thurs] Boxed beef cutout values this afternoon were lower… Cattle markets are nervous about demand with the increasing COVID cases, but cash prices are being reported at $1 higher than last week, Total Farm Marketing said… Live cattle markets saw modest gains today, The Hightower Report said. “The market is extremely oversold with technical indicators such as slow stochastic numbers,” they said… / Afternoon National Slaughter Cattle Review: So far for Thursday negotiated cash trading has been slow with light demand in Nebraska. A few live and dressed purchases traded from 124.00-125.00 and at 198.00, respectively. Not enough purchases for a full market trend. Wednesday was the last reported market with live and dressed purchases at 126.00 and 203.00, respectively. Thus far for Thursday in Kansas and Western Cornbelt negotiated cash trading has been limited on light demand. In Kansas a few live purchases traded steady at 123.00, when compared to Wednesday. Not enough purchases in the Western Cornbelt for a full market trend. On Wednesday live and dressed purchases traded from 124.00-125.00 and at 203.00, respectively. So far for Thursday in the Texas Panhandle negotiated cash trading has been at a standstill. Wednesday was the last reported market with live purchases from 123.00-124.00.
Farm Commodity Newsletter/Iowa Farmer Today
Thu 9/9/2021 4:38 PM
Boxed beef cutout values this afternoon were lower on Choice and Select, USDA said.
Choice fell $2.28 to $332.58/cwt.
Select went down $1.72 to $296.45.
In negotiated cash sales in Nebraska, the USDA reported 2,833 head sold dressed at $198-200, with 5,161 sold live at $124-126. In Iowa/Minnesota, 1,940 head were sold live at $124-127, and 930 head were sold dressed at $197-198.
Cattle markets are nervous about demand with the increasing COVID cases, but cash prices are being reported at $1 higher than last week, Total Farm Marketing said.
The close higher has live cattle “is in a slightly bullish posture,” The Hightower Report said. The market is now in oversold levels, so there is room for prices to move higher, they said.
Live cattle rebound, hogs take hit
Live cattle markets saw modest gains today, The Hightower Report said. “The market is extremely oversold with technical indicators such as slow stochastic numbers,” they said.
Hogs took a hit today after there was no new buying interest, The Hightower Report said. “The market experience aggressive selling to drive the market down to the lowest level since August 13.”
Grains put in final say ahead of Friday's report
Grain markets were pressured today, Jim Warren of CHS Hedging said as the markets prepare for the USDA release tomorrow morning.
There is an increased chance of a La Nina pattern developing this winter according to the Climate Prediction Center. They pushed the probability to 70-80%, when it was previously 70%, Warren noted.
Corn markets traded lower today before hitting the 200-day moving average, Jim Warren of CHS Hedging said. “Buyers were found waiting there and recovered to settle only ¼ cents lower on the day.” Brazil’s corn crop estimates were down just under 1 mln bushels, according to CONAB.
There are concerns that tomorrow’s report will show increased corn plantings, which “keeps trade nervous,” Total Farm Marketing said. “Ethanol production expected to be higher than last week.”
“Ongoing lack of U.S. gulf exports has also weighed on soybean futures,” ADM Investor Services said. “There is talk that a few of the gulf elevators may have or soon will get power. This will give them time to access damages and begin repairs.”
Demand is still strong with China, Total Farm Marketing said, as they continue to buy U.S. soybeans. That shows soybean prices are still competitive on the global market, they said.
Wheat took a hit today as large acreage numbers came out from the FSA overnight, Jim Warren of CHS Hedging said. Larger than expected Canadian stocks and Australian production is also weighing on the markets.
Managed funds are rolling out of a long position in Chicago to a net short, ADM Investor Services said. “Wheat futures broke below key support levels which increase chart pattern selling.”