[Fri] Boxed beef cutout values this afternoon were higher… In negotiated cash sales in Nebraska, the USDA reported 257 head sold dressed at $210- and 2,244 sold live at $134 to $135. In Iowa/Minnesota 594 head were sold live at $132 to $135 and 237 head were sold dressed at $208 to $210. Cattle markets were higher today as surging exports to China “on top of the threat that the U.S. will ban imports from Brazil” are possibly bullish forces to the market, The Hightower Report said… / Afternoon National Slaughter Cattle Review: Thus far for Friday negotiated cash trading has been limited on light demand in all major feeding regions with a few live purchases in Nebraska at 135.00, however not enough purchases in any region for a market trend. Thursday was the last reported market in any region. In the Southern Plains live purchases traded at 133.00. In Nebraska and the Western Cornbelt live and dressed purchases traded from 133.00-134.00 and 210.00, respectively. The last reported market in Colorado was last week with live purchases at 132.00.
Farm Commodity Newsletter/Iowa Farmer Today
Fri 11/19/2021 4:24 PM
Boxed beef cutout values this afternoon were higher on Choice and Select, the USDA said.
Choice up $2.25 to $278.41.
Select up 67 cents to $263.83.
In negotiated cash sales in Nebraska, the USDA reported 257 head sold dressed at $210- and 2,244 sold live at $134 to $135. In Iowa/Minnesota 594 head were sold live at $132 to $135 and 237 head were sold dressed at $208 to $210.
Cattle markets were higher today as surging exports to China “on top of the threat that the U.S. will ban imports from Brazil” are possibly bullish forces to the market, The Hightower Report said.
“In addition, consumer demand in the U.S. could be stronger-than-expected for the holiday season just ahead and this could boost beef prices and also boost packer profit margins,” The Hightower Report said. That may keep the cash market into a solid uptrend, they said.
Exports low for hogs, higher for cattle
While front month contracts dropped today, deferred hog contracts are “holding well” and are staying in an uptrend, Total Farm Marketing said.
With cash trade moving higher yesterday, live cattle futures saw support today limiting their losses. Any big movement will come on Monday from the
Cattle on Feed report which released after the market close.
Energy markets weigh on corn, soybeans
Crop markets were mixed today, with corn and soybeans finding weakness due to “sharply lower energies,” Pattie Uhrich of CHS Hedging said. Energy markets were hurt as the pandemic resurges in European countries led by December crude oil dropping $2.91.
Next week marks a shorter trade week for commodities with the Thanksgiving holiday on Thursday. Markets will be open as normal through Wednesday, closed on Thursday and open for a half day on Friday.
Corn markets were choppy today, Patti Uhrich of CHS Hedging said, and for the week the December contract was down 6 ½ cents.
An increase in Covid cases is also weighing on energy, equity market and food demand, spilling over to corn markets, ADM Investor Services said. “Corn end user are short and need to finish buying 2021 needs. They have little 2022 coverage.”
Forecasts have rains coming to parts of Argentina soon, but an overall drier December, ADM Investor Services said. “Soymeal continues to gain on soyoil. Bears feel soybean prices are overbought without China buying large amounts of U.S. soybeans.”
Planting is ahead of schedule in Brazil, Total Farm Marketing noted, which means the rains coming will be beneficial in those locations. “Soy processors crush margins are near historic highs,” they said.
Nearly 44% of the wheat acreage in the U.S. is under some level of drought, leading to higher trade among Chicago and Kansas City markets.
“Wheat futures had been trending higher on lower Canada and U.S. spring wheat supplies,” ADM Investor Services said. Record low world stocks to use ratio and higher Russia prices are supporting wheat markets as well.